Shares of Five Below (FIVE) soared 5.02% in after-hours trading on Wednesday following the release of the company's strong first-quarter results and raised full-year guidance. The discount retailer's performance exceeded analyst expectations, demonstrating resilience in a challenging economic environment.

Five Below reported adjusted earnings per share of $0.86 for the first quarter, surpassing the consensus estimate of $0.83. Revenue for the quarter came in at $970.5 million, beating analysts' expectations of $966.49 million. The company's impressive top-line growth was driven by a 7.1% increase in comparable sales, outpacing the 6.7% growth Wall Street had projected.

In light of the strong results, Five Below raised its full-year 2025 guidance. The company now expects net sales between $4.33 billion and $4.42 billion, up from its previous forecast of $4.21 billion to $4.33 billion. The adjusted earnings per share outlook was also increased to a range of $4.25 to $4.72, compared to the prior guidance of $4.10 to $4.72. This positive outlook has likely contributed to investor enthusiasm, as reflected in the after-hours stock price surge.

However, the company also announced that CFO Kristy Chipman will be stepping down for personal reasons. Ken Bull, the current COO, will serve as interim CFO while the company searches for a permanent replacement. Despite this executive change, investors appear to be focusing on the strong financial performance and improved outlook.