Five Below, Inc. FIVE is improving store productivity, which is emerging as a major pillar of its long-term growth strategy, reinforcing confidence in the company’s expansion runway. Management highlighted that newly opened locations are delivering strong early performance, supported by disciplined site selection, better execution and stronger customer engagement.
The strength was visible in the fourth quarter of fiscal 2025, when FIVE opened 14 net new stores across eight states, supporting sales momentum and market expansion.
The company ended fiscal 2025 with 1,921 stores across 46 states, reflecting 8.5% year-over-year store count growth after opening 150 net new stores. Management emphasized that store growth is now being approached with greater discipline, prioritizing quality over pace. This sharper focus on selecting the right locations and executing impactful grand openings has significantly improved productivity at newer stores, helping boost returns on capital and supporting sustainable expansion.
A notable proof point came from the Pacific Northwest, where eight record-breaking grand openings in the fiscal fourth quarter exceeded expectations. Performance remained broad-based across all store vintages and districts, highlighting that newer stores are contributing meaningfully alongside mature locations.
Importantly, FIVE continues to see substantial white-space opportunity for expansion across the United States. The company plans 150 net new store openings for fiscal 2026, supported by ongoing investments in supply-chain capacity and technology infrastructure. This measured yet steady expansion strategy supports sustainable productivity gains across the store base.
Management remains optimistic that stronger store productivity, combined with disciplined site selection and consistent execution, will support durable growth. For fiscal 2026, FIVE expects net sales of $5.2-$5.3 billion, indicating 10% growth at the mid-point, reinforcing confidence in its long-term store expansion and productivity-driven growth strategy.