Philadelphia-based discount teen trends retailer Five Below has reported 40% increase in its second quarter (Q2) fiscal 2012 net sales to $86.8m when compared to $62m in the same period a year ago.

The retailer’s net income was $1.2m, compared to $2.2m in the same period last year. Comparable store sales for the quarter ended 28 July 2012 increased by 8.6%.

Operating income increased to $4.7m, compared to $3.7m in the second quarter of fiscal 2011.

During the period, the company opened 27 new stores and ended the quarter with 226 stores in 18 states.

Net sales twenty-six weeks ended 28 July increased by 45% to $158.6m, compared to $109.4m in 2011. Besides, the net income for the period totaled $90,000.

Five Below ‘s operating income was $2.8m, compared to $5.3m in fiscal 2011.

The company opened 34 new stores compared to 26 net new stores in the comparable period in fiscal 2011.

Five Below president and CEO Thomas Vellios said that the company has seen growth in net sales, comparable store sales, and operating income for Q2 2012 period.

“With a current base of 226 stores, we believe we have a considerable runway for store growth ahead of us and we are focused on delivering against that opportunity while maintaining our profitability and return goals,” Vellios added.

For fiscal 2012, the company expects net sales to be in the range of $402m to $407m.

Five Below carries products in fashion, cosmetics, electronics accessories (such as iPad and iPhone chargers and cases), toys, games, arts and crafts, collectibles, DVDs, video games, all for $1-5.