Big 5 Sporting Goods Corp. reported preliminary sales results for the fiscal 2023 fourth quarter and full year ended December 31, 2023.
For the fiscal 2023 fourth quarter, the retailer’s net sales were $196.3 million compared to net sales of $238.3 million for the fourth quarter of fiscal 2022. Same-store sales decreased 17.7 percent for the fourth quarter of fiscal 2023 compared to the fourth quarter of fiscal 2022. Big 5’s merchandise margins decreased 43 basis points for the fourth quarter of fiscal 2023 compared to the prior year period.
“Our fourth quarter results were challenged by extraordinarily unfavorable winter weather conditions across our western footprint,” shared Chairman, President and CEO Steven G. Miller. “Winter-related products are typically an important seasonal driver of our fourth quarter business, but this year’s warm weather and lack of snow weighed heavily on the category’s performance, which was down nearly 40 percent versus the prior year. Sales of non-winter products were down approximately 10 percent, consistent with the guidance that we provided at the beginning of the quarter. In the challenged sales environment, we remained focused on maintaining strong merchandise margins and controlling the elements of the business that we can, including managing inventory and expenses. As we begin 2024, we are in a solid financial position with no debt and the flexibility to capitalize on opportunities in this dynamic environment.”
For the fiscal 2023 full year, net sales were $884.7 million compared to net sales of $995.5 million for fiscal 2022. Same-store sales decreased 11.2 percent for the fiscal 2023 full year compared to fiscal 2022. The company’s merchandise margins were flat for the fiscal 2023 full year compared to fiscal 2022.
For the fiscal 2023 fourth quarter, Big 5 now expects to report a loss per basic share in the range of 38 cents to 40 cents, which compares to its previous guidance for a fourth-quarter loss per basic share in the range of 20 cents to 35 cents per share.
For the fiscal 2023 full year, the retailer now expects to report a loss per basic share in the range of 30 cents to 32 cents.
Financial results for the fiscal 2023 fourth quarter and full year are unaudited, preliminary and subject to final year-end accounting entries.
The company ended the 2023 fiscal year with no borrowings under its credit facility and with a cash balance of $9.2 million. Total merchandise inventories decreased by 7.8 percent as of the end of fiscal 2023 versus the end of the prior fiscal year.
The company expects to issue earnings results for the fiscal 2023 fourth quarter and full year in late February 2024.
Image courtesy Big 5
