Five Below Lifts Outlook as It Eyes Asian Pop-Culture Boost (1)

Five Below Inc. on Wednesday raised its profit outlook, saying that it has passed on higher costs from tariffs to its customers who continue to embrace the retail chain’s budget-friendly, pop-culture focused products.

The Philadelphia-based retailer now seescomparable sales rising about 5% to 7% in the fiscal year, up from roughly 3% to 5% it saw previously. Adjusted earnings per share is forecast between $4.76 and $5.16, above its previous guidanceof $4.25 to $4.72.

The improved guidance comes as Five Below reported same-store sales growth of 12%, surpassing the 9.1% increase projected by analysts surveyed by Bloomberg.

Despite ...