Five Below, Inc. (FIVE) Q4 2022 Earnings Call Transcript

For the period ending January 28, 2023

March 15, 2023 4:30 p.m. ET

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Operator

Good day, and welcome to the Five Below Fourth Quarter 2022 Earnings Conference Call. All participants will be in a listen-only mode. [Operator Instructions] After today’s presentation, there will be an opportunity to ask questions. [Operator Instructions] Please note that this event is being recorded.

I would now like to turn the conference over to Christiane Pelz, Vice President of Investor Relations. Please go ahead.

Christiane Pelz

Thank you, Gary. Good afternoon, everyone and thanks for joining us today for Five Below's fourth quarter 2022 financial results conference call. On today's call, are Joel Anderson, President and Chief Executive Officer; and Ken Bull, Chief Operating Officer and Chief Financial Officer and Treasurer. After management has made their formal remarks, we will open the call to questions.

I need to remind you that certain comments made during this call may constitute forward-looking statements and are made pursuant to and within the meaning of the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995 as amended. Such forward-looking statements are subject to both known and unknown risks and uncertainties that could cause actual results to differ materially from such statements. Those risks and uncertainties are described in the press release and our SEC filings, The forward-looking statements made today are as of the date of this call and we do not undertake any obligation to update our forward-looking statements. If you do not have a copy of today's press release, you may obtain one by visiting the Investor Relations page of our website at fivebelow.com.

I will now turn the call over to Joel.

Joel Anderson

Thank you, Christiane, and thanks everyone for joining us on our fourth quarter 2022 earnings call. As we stated at the ICR conference in January, we were pleased with our holiday performance, which was at the high end of our guidance despite the impact of snowstorms leading up to Christmas. The season played out as we had expected with an improved inventory position and more targeted digital marketing, helping fuel sales as our Save the Holidays campaign resonated with customers looking for value. Results for both the holiday period and the quarter overall were driven by transactions, our proxy for traffic, which demonstrates the effectiveness of the value and wow we delivered, especially important in this inflationary environment.