Big 5 Sporting Goods will keep its listing on the Nasdaq exchange after the company filed its 2004 annual report with the SEC last week. The retailer had been in danger of de-listing after missing an August 31 deadline extension. Big 5 had requested another extension, but were able to file the required Form 10-K, including restatements for 2003 and 2002, before the Nasdaq Listing Qualifications Panel could take any adverse action.
Total sales for the 2004 fiscal year increased 10.1% to $782.2 million from $710.4 million in the 2003 fiscal year. Same-store sales were up 3.9% for the year on top of a 2.2% gain in the prior year. Sales per gross square foot were up 4.8% to $238/sf from $227/sf in 2003. Big 5 finished the year with 309 stores, a net gain of 16 doors from the prior year-end.
Gross margins improved 60 basis points to 36.5% of sales, compared to 35.9% of sales in the prior year.
Net income for the 2004 fiscal year, after all restatement adjustments, was $33.5 million, or $1.47 per diluted share, versus preliminarily reported net income of $34.3 million, or $1.50 per diluted share. The restated net income reflects a 43.1% increase from fiscal 2003 net income of $23.4 million, or $1.03 per diluted share.
Inventories at year-end were up 11.1% to $206.2 million. Big 5 purchases merchandise from roughly 750 vendors, but they relied on their 20 largest vendors for 38.6% of total purchases during the fiscal year ended January 2, 2005. Their largest vendor accounted for 6.2% of purchases.
Net income for the 2004 fourth quarter after all restatement adjustments was $9.5 million, or 42 cents per diluted share, versus preliminarily reported net income of $11.6 million, or 51 cents per diluted share. The restated net income for Q4 reflects a 17.6% increase from restated net income of $8.0 million, or 35 cents per diluted share, in the fiscal 2003 Q4 period.
Big 5 must still file its fiscal 2005 Q1 and Q2 quarterly reports by September 30 to maintain their Nasdaq listing.
