There’s a rumor out there: Is Ollie’s going out of business? It’s the kind of question people start asking when they notice layoffs or closures at other retail giants. But here’s the thing—Ollie’s Bargain Outlet seems to be doing just fine. In fact, they’re not just surviving. They’re growing.
Understanding Ollie’s Bargain Outlet Today
Ollie’s doesn’t look like a retailer that’s on the ropes. If you check their stores, you’ll probably see the usual: lots of deals, crowds scouting bargains, that “Good Stuff Cheap!” slogan still hanging up front. The company just wrapped up a strong fiscal year. They’re not talking about shrinking. They are talking about opening more stores, picking up assets, and expanding where others are cutting back.
That’s a big part of the story right now in retail. When stores like Big Lots or Bed Bath & Beyond close a bunch of locations, it creates space for competitors who are ready to step in. Ollie’s seems eager to fill that space.
Putting the Numbers in Perspective
Financial results for fiscal 2024 show Ollie’s is actually growing, not shrinking. Net sales hit $2.42 billion, up 8% from the previous year. Maybe the more striking number is store count. Ollie’s opened a net total of 47 new stores, reaching 559 stores by the end of the year. That’s a 9.2% increase in store locations—way more than just holding steady.
Comparable store sales (meaning: stores open at least a year) grew by 2.8% in the fourth quarter. Wall Street was not expecting that much. According to a bunch of analysts, that jump is solid, especially when people are being picky about where they spend money.
Financial Health—What the Numbers Tell Us
If you’re worried a company might be about to go bankrupt, the first place to check is its balance sheet. In Ollie’s case, there’s just not much there to worry about. They ended fiscal 2024 with strong positive cash flow. They have zero borrowings on their revolving credit facility. That means, if things get ugly in retail, they’ve still got a cushion.
Here’s another number worth looking at: current ratio, which measures liquidity (basically, do you have enough cash and assets on hand to pay what you owe). Ollie’s current ratio sits at 2.85x. That’s healthy. Their cash per share is $3.48. The probability score that measures the odds of bankruptcy? It’s only 9%, compared to a sector average that’s about four times higher.
Simply put, there are no big warning lights flashing on the dashboard.
So Why Are They Expanding?
Instead of tightening up, Ollie’s is stepping on the gas. Their plan for fiscal 2025 is to open at least 75 new stores. That’s actually more aggressive growth than last year, and a clear signal they see opportunity where others see problems.
The company has been making deals to get into great retail locations fast. For example, they scooped up 63 former Big Lots store leases in recent months. Forty of those came directly from a sale by Gordon Brothers. They even grabbed 11 extra stores by bidding in a bankruptcy court auction—not the move of a business backing away from physical retail.
If you see an Ollie’s moving into the space where a Bed Bath & Beyond or Big Lots used to be, that’s not random. It’s part of their game plan.
What’s the Leadership Saying?
Eric van der Valk, Ollie’s CEO, is upfront about how they see the current retail shakeout. He recently told investors there are “a considerable number of abandoned customers, merchandise, real estate, and talent” due to other retailers scaling back or filing for bankruptcy.
Translation: when other stores close, those shoppers don’t just give up buying cleaning supplies, mattresses, toys, and all those weird closeout finds. Ollie’s is betting that it can collect these customers, hire displaced workers, and snap up good locations at a discount.
It doesn’t sound like someone who’s worried about keeping the lights on.
Ollie’s Stock: How’s It Holding Up?
Ollie’s shares have been on a tear. Over the past 12 months, the stock price rose nearly 45%. That’s a big jump for any retailer—especially one selling discounted and closeout products, where profit margins aren’t usually huge.
Investors like what they see. Both the recent numbers and the expansion plans have boosted confidence. You don’t usually see this kind of stock move unless a company beats expectations or lays out a clear and believable plan for growth.
Ollie’s market niche is pretty unique, too. They’re America’s largest closeout and excess inventory retailer. You know, they stage those slightly chaotic sales floors to move all the odd-lot and liquidation products, and somehow it works. This business model kind of insulates them from the problems of traditional department stores or furniture retailers.
Looking ahead, the company’s own guidance suggests they could see sales growth of up to 13.5% over the next year. For bargain shops in the U.S., that is a big number.
Lessons From Ollie’s Approach
If you ask retail experts, Ollie’s timing looks smart. The company isn’t just opening new stores for the sake of it—they’re unlocking existing leases from struggling rivals. That strategy gets them into places where shoppers are already used to coming for deals. Sometimes, they even keep some of the staff. If you ever run a retail operation, you know that saves time and smooths out the opening.
Ollie’s also isn’t loaded down with debt, so they aren’t squeezed if there’s a weak quarter or two. They can afford to be patient about new locations hitting their stride.
When we checked out industry discussion boards (and some deeper financial news, like at Business Republic Mag), there’s a recurring theme. People ask whether discount retailers are the answer in tough times. Ollie’s is often held up as an example of a chain that figured out how to win when customers want bargains, not brand names.
So, Is Ollie’s Going Out of Business?
Let’s cut to it. No, Ollie’s Bargain Outlet is not going out of business. If anything, they’re expanding—maybe more aggressively than they have in years. You see the evidence in the numbers, the growing store count, the real estate deals, and even the company’s buyback program.
The only real threat for Ollie’s right now would be a big shift in consumer habits or a severe hit to the closeout market for some reason. But at the moment, they’re well-positioned. They’re growing while many traditional retailers shrink.
If you have an Ollie’s nearby, odds are it’ll still be there next year—maybe with some new competition moving in next door, but probably with even more deals to hunt for. For now, that “Going Out of Business?” rumor just doesn’t fit the facts.
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