Golf Galaxy reported that net sales for the fiscal first quarter ended May 28 increased 52.6% to $58.6 million from $38.4 million in the first quarter of fiscal 2004. The increase in net sales resulted primarily from $15.4 million in sales from new stores opened in the current or prior fiscal year, before becoming comparable stores, and a 10.5% comparable store sales increase.
The increase in comparable store sales was primarily attributable to increased sales of clubs, which was driven by several new product introductions. Increased sales of golf balls resulting from increased promotion and merchandising focus on this product group also contributed to the comparable store sales gains.
Gross margin improved 100 basis points to 31.1% of sales, compared to 30.1% in the prior fiscal year's first quarter.
Net income was $1.7 million in the first quarter of fiscal 2006, a 54.5% increase from net income of $1.1 million in the first quarter of fiscal 2005.
