Big 5 Sporting Goods Corporation reported that net sales for the third quarter increased by $8.8 million, or 4.5%, to $206.8 million from $198.0 million in the third quarter of 2004. Same store sales increased 3.8% during the third fiscal quarter versus the same 13-week calendar period last year, representing the company's 39th consecutive quarterly increase in same store sales over comparable prior periods.

On a fiscal quarter basis, same store sales increased 1.2% during the third quarter versus the third quarter of fiscal 2004. The difference in same store sales comparisons was due to fiscal 2005 being a 52-week year and fiscal 2004 being a 53-week year and the resulting calendar shift of pre-Fourth of July holiday business out of the fiscal 2005 third quarter.

Net income for the fiscal 2005 third quarter was $7.2 million, or 32 cents per diluted share, compared with previously restated net income of $8.5 million, or 37 cents per diluted share, for the fiscal 2004 third quarter.

Third quarter fiscal 2005 results included charges totaling approximately $1.9 million (pretax), or 5 cents per diluted share, associated with legal, audit and other fees related to the company's restatement of prior reported financial statements. Third quarter expenses also reflected an increase of approximately $2.3 million in distribution center expenses, of which approximately $1.5 million (pretax), or 4 cents per diluted share, was directly attributable to the company's transition to its new distribution center. The increase related to the transition to the new distribution center was generally in line with the company's expectations for the third quarter.

Net income comparisons for the third quarter were affected by the application of revised inventory cost capitalization methodologies adopted as part of the prior restatement. This increased fiscal 2005 third quarter pretax profit by $1.4 million, or 4 cents per diluted share, compared to the same period last year. Additionally, third quarter results benefited from the company's recording of $1.8 million in proceeds from the settlement of a claim related to the required relocation of one of the company's stores following an eminent domain action by a city redevelopment agency, which increased the company's net income by 5 cents per diluted share.

For the thirty-nine week period ended October 2, 2005, net sales increased by $30.5 million, or 5.4%, to $595.1 million from restated net sales of $564.6 million in the same period last year. Same store sales increased 2.8% versus the same thirty-nine week calendar period in fiscal 2004. On a fiscal quarter basis, same store sales increased 2.2% during the first three quarters of fiscal 2005 versus the first three quarters of fiscal 2004. Net income was $19.8 million, or 87 cents per diluted share, for the first thirty-nine weeks of fiscal 2005, compared to restated net income of $24.1 million, or $1.06 per diluted share, in the same period last year. Results for the first nine months of fiscal 2005 include an increase of approximately $4.3 million in distribution center expenses, of which approximately $2.2 million (pretax), or 6 cents per diluted share, was directly attributable to the company's transition to its new distribution center, and costs of approximately $3.8 million, or 10 cents per diluted share, associated with legal, audit and other expenses for the company's restatement. Results for the first nine months of fiscal 2004 include a second quarter pretax charge of $0.8 million, or 2 cents per diluted share, associated with the redemption of $15.0 million principal amount of the company's 10.875% senior notes.

“We are pleased with our sales performance during the third quarter,” said Steven G. Miller, the company's chairman, president, and CEO. “The shift of our pre-Fourth of July holiday business out of our third fiscal quarter this year, when it had been in the third quarter last year, significantly affected comparability between our fiscal periods. Earnings results also continued to be impacted by unusual items, including the costs of the restatement and the transition to our new distribution center, as well as the revision and refinement of our accounting methodologies. We are very encouraged that sales trends for the year have improved over each quarter and this momentum has continued into the fourth quarter. Our October period comp store sales performance was our strongest monthly comparison of 2005, measured on a calendar-day to calendar-day basis. We believe that we are well positioned for the holiday season.”

EPS Guidance

Fiscal 2004 was a 53-week year, with the fourth quarter having fourteen weeks, while fiscal 2005 is a 52-week year, with the fourth quarter having thirteen weeks. The fourth quarter sales guidance discussed below is provided on a thirteen-week calendar-day to calendar-day basis, and the full-year sales guidance discussed below is provided on a 52-week calendar-day to calendar-day basis. The Company expects to realize same store sales growth in the low to mid-single digit range for the fourth quarter of fiscal 2005, resulting in earnings per diluted share in the range of 40 cents to 44 cents. This includes anticipated charges of approximately 6 cents to 7 cents per diluted share for expenses directly attributable to the company's transition to its new distribution center. For the 2005 fiscal year, the company expects to realize same store sales growth in the low single digit range, resulting in earnings per diluted share in the range of $1.27 to $1.31, including charges of approximately 12 cents to 13 cents per diluted share for expenses directly attributable to the company's transition to its new distribution center and approximately 10 cents per diluted share associated with legal, audit and other expenses related to the restatement. The company expects 2005 fiscal year earnings per diluted share of $1.49 to $1.54, excluding expenses directly attributable to the company's transition to its new distribution center and expenses related to the restatement.

Declaration of Quarterly Cash Dividend

The company also announced that its Board of Directors has again declared a quarterly cash dividend of 7 cents per share of outstanding common stock, which will be paid on December 15, 2005 to stockholders of record as of December 1, 2005. The Board of Directors of the company initiated a quarterly cash dividend, at an annual rate of 28 cents per share, in the fourth quarter of fiscal 2004.

Store Openings

The company opened 4 new stores and closed one store during the fiscal 2005 third quarter. During the fourth quarter to date, the company has opened 4 new stores, bringing its current total store count to 318. The company expects to open a total of 15 net new stores during fiscal 2005, bringing its expected total year-end store count to 324 stores.

New Distribution Center

Construction has been substantially completed on the company's new distribution center located in Riverside, California, and the company's transition to this facility has been proceeding on schedule. The company has been receiving product at its new distribution center for two months and in early October 2005, the company began shipping product from the new distribution center and moving product from its existing distribution center to the new facility. The company expects to complete the transition to its new distribution center during the first quarter of fiscal 2006.

                     BIG 5 SPORTING GOODS CORPORATION
               CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
                                 (Unaudited)
                (in thousands, except earnings per share data)

                                                                 Restated
                                          13 Weeks Ended      13 Weeks Ended
                                            October 2,         September 26,
                                               2005                 2004

    Net sales                               $206,834             $197,997
    Cost of goods sold, buying and
     occupancy, excluding depreciation
     and amortization, shown
     separately below                        133,297              127,236
    Gross profit                              73,537               70,761

    Selling and administrative                57,774               52,089
    Depreciation and amortization              3,784                3,059

    Operating income                          11,979               15,613
    Other expense (income)                    (1,409)                  --
    Interest expense, net                      1,425                1,628

    Income before income taxes                11,963               13,985
    Income tax                                 4,721                5,508

    Net income                                $7,242               $8,477


    Earnings per share:
      Basic                                    $0.32                $0.37
      Diluted                                  $0.32                $0.37