COLUMBUS, Ohio, Jan. 10, 2022 /PRNewswire/ -- Big Lots, Inc.
(NYSE: BIG) today provided a long-range growth and margin outlook
detailing a significant value-creation opportunity over the coming
years. Details of the company's long-term outlook are available in
an updated investor presentation available through the company's
website and include:
- A sales goal of $8 to
$10 billion driven by approximately
500 net store openings, merchandise sales productivity initiatives,
and continued ecommerce growth
- An operating margin goal of 6% to 8% driven by gross margin
improvement and expense leverage
- A Return on Invested Capital goal of 20% to 25%
Commenting on the company's long-term goals, Bruce Thorn, President and CEO of Big Lots
stated, "We are highly confident that Operation North Star has put
us on track to create tremendous long-term value for shareholders,
and that we now have the visibility to provide a long-term
financial outlook. We see a clear and long runway for growth ahead
of us, coupled with the opportunity to drive returns through margin
expansion and judicious capital allocation. We have all of the
foundations in place to accomplish this, including a seasoned and
ambitious team, new tools and technologies, and a proven pipeline
of innovation. We will do all of this by accomplishing our mission
to help our customer Live BIG and Save Lots!"
The company also provided an update on results for the fourth
quarter of fiscal 2021. Through the end of fiscal December, the
company's performance was at the upper end of its expectations. On
a quarter-to-date basis through the end of fiscal December,
the company achieved a two-year comparable sales increase of
approximately 9%.
Since early January, the company has seen a softening of traffic
and sales trends which it believes, in addition to adverse weather
conditions, has been significantly driven by the rapid spread of
the Omicron strain of Covid-19 and its impact on consumer behavior.
Based on a continuation of current trends, the company would expect
to achieve a flat to low-single-digit percentage two-year
comparable sales increase for fiscal January, below prior
expectations, and resulting in diluted EPS for the quarter in the
range of $1.80 to $1.95.
The company also announced that, for the quarter-to-date, it has
repurchased approximately 1.6 million shares for an aggregate
amount of approximately $70 million.
The company has approximately $180
million remaining available under a $250 million share repurchase authorization
approved by its Board of Directors on December 1, 2021.
Commenting on the fourth quarter, Bruce
Thorn added, "We are pleased with our holiday performance,
with two-year comps for fiscal November and December running up 9%.
Our outstanding team has worked tirelessly to offset headwinds from
the global supply chain to ensure our customer would find what she
wanted in our stores and online. While the Omicron variant creates
some near-term challenges, we look forward to rounding out another
very successful year for the company. Meanwhile, we are pleased to
have continued to return capital to shareholders through share
repurchases."
As previously announced, the company will be participating in
the 2022 ICR Conference, which will be a virtual event this year.
Bruce Thorn, President and CEO of
Big Lots, Jonathan Ramsden,
Executive Vice President, Chief Financial & Administrative
Officer, and Jack Pestello,
Executive Vice President, Chief Merchandising Officer, are
scheduled to participate in a fireside chat on Tuesday, January 11, 2022, which will be
broadcast live beginning at approximately 10:30 AM Eastern Time. Related to its
participation in the conference, the company has posted an updated
Investor Presentation to its corporate website:
https://www.biglots.com/corporate/investors.
For information regarding registration and participation in the
conference, please visit https://icrconference.com. Additionally,
an audio only live webcast of the fireside chat will be available
through the Investor Relations section of the company's website at
https://www.biglots.com/corporate/investors/.
If you are unable to join the live webcast, an archive will be
available at https://www.biglots.com/corporate/investors/ on
January 11, at and will remain
available through midnight, January 21,
2022.
About Big Lots, Inc.
Headquartered in Columbus, Ohio, Big Lots, Inc. (NYSE: BIG) is
a neighborhood discount retailer and a Fortune 500 company,
operating 1,431 stores in 47 states, as well as a best-in-class
ecommerce platform with expanded capabilities via BOPIS, curbside
pickup, Instacart and same day delivery. The company's product
assortment is focused on home essentials: Furniture, Seasonal, Soft
Home, Food, Consumables and Hard Home. Ranked one of the
fastest-growing eCommerce businesses by Digital Commerce 360 and
the recipient of Home Textiles Today's 2021 Retail Titan Award, Big
Lots' mission is to help people Live BIG and Save Lots. The company
strives to be the BIG difference for a better life by delivering
exceptional value to customers through the ultimate treasure hunt
shopping experience, building a "best places to grow" culture,
rewarding shareholders with consistent growth and top-tier returns,
and doing good in local communities. For more information about the
company, visit biglots.com.
Cautionary Statement Concerning Forward-Looking
Statements
Certain statements in this release are forward-looking statements
within the meaning of the Private Securities Litigation Reform Act
of 1995, and such statements are intended to qualify for the
protection of the safe harbor provided by the Act. The words
"anticipate," "estimate," "expect," "objective," "goal," "project,"
"intend," "plan," "believe," "will," "should," "may," "target,"
"forecast," "guidance," "outlook" and similar expressions generally
identify forward-looking statements. Similarly, descriptions of
objectives, strategies, plans, goals or targets are also
forward-looking statements. Forward-looking statements relate to
the expectations of management as to future occurrences and trends,
including statements expressing optimism or pessimism about future
operating results or events and projected sales, earnings, capital
expenditures and business strategy. Forward-looking statements are
based upon a number of assumptions concerning future conditions
that may ultimately prove to be inaccurate. Forward-looking
statements are and will be based upon management's then-current
views and assumptions regarding future events and operating
performance and are applicable only as of the dates of such
statements. Although the company believes the expectations
expressed in forward-looking statements are based on reasonable
assumptions within the bounds of knowledge, forward-looking
statements, by their nature, involve risks, uncertainties and other
factors, any one or a combination of which could materially affect
business, financial condition, results of operations or
liquidity.
Forward-looking statements that the company makes herein and in
other reports and releases are not guarantees of future performance
and actual results may differ materially from those discussed in
such forward-looking statements as a result of various factors,
including, but not limited to, developments related to the COVID-19
coronavirus pandemic, current economic and credit conditions, the
cost of goods, the inability to successfully execute strategic
initiatives, competitive pressures, economic pressures on customers
and the company, the availability of brand name closeout
merchandise, trade restrictions, freight costs, the
risks discussed in the Risk Factors section of the company's
most recent Annual Report on Form 10-K, and other factors discussed
from time to time in other filings with the SEC, including
Quarterly Reports on Form 10-Q and Current Reports on Form 8-K.
This release should be read in conjunction with such filings, and
you should consider all of these risks, uncertainties and other
factors carefully in evaluating forward-looking statements.
You are cautioned not to place undue reliance on forward-looking
statements, which speak only as of the date thereof. The company
undertakes no obligation to publicly update forward-looking
statements, whether as a result of new information, future events
or otherwise. You are advised, however, to consult any further
disclosures the company makes on related subjects in public
announcements and SEC filings.
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SOURCE Big Lots, Inc.