Ollie's Opens 10 Discount Stores in Texas

Ollie's Bargain Outlet has announced the grand openings of 10 new stores in Texas. The locations, all former 99 Cents Only Stores, will bring more brand name bargains to the Dallas, Houston, McAllen and San Antonio markets.

Ollie’s announced back in May that it entered into an asset purchase agreement to acquire 11 former 99 Cents Only Stores locations across Texas for $14.6 million in cash. The locations were acquired through the auction process held in connection with 99 Cents Only Stores’ bankruptcy proceedings. Another discount chain, Dollar Tree, Inc., acquired rights to the leases of 170 99 Cents Only Stores in several southwest states.

"We are incredibly excited to open 10 more stores in the great state of Texas where the folks have been so good to us," said John Swygert, CEO of Ollie's Bargain Outlet. "With the closing of 99 Cents Only Stores throughout the state, we're thrilled to provide shoppers in the Houston, Dallas, San Antonio and McAllen areas with a treasure hunt experience where they can find a huge selection of brand name bargains at prices that won't break the bank!"

Proving everyone loves a bargain, Ollie's posted impressive results in its latest financial quarter. For second quarter ended Aug. 3, net sales increased 12.4% to $578.4 million, compared with net sales of $514.5 million last year. The increase was the result of new store unit growth in addition to a comparable store sales increase of 5.8%.

Gross profit rose 11.4% to $219.0 million. Adjusted EBITDA increased 16.4% to $74.5 million and adjusted EBITDA margin increased 50 basis points to 12.9%.

The Harrisburg, Pa.-based extreme discounter is America's largest retailer of closeout merchandise and excess inventory. Ollie's offers brand-name products in a variety of departments, including housewares, food, stationery, and health and beauty aids. It currently operates 542 stores in 31 states with over 10,000 employees.