Dreams Inc., the owner of Fansedge, reported revenues in the first quarter increased 25.4 percent to $29.5 million from $23.5 million a year ago. The loss was trimmed to $652,000, or 1 cent a share, from $1.2 million in the same period a year ago.
Fanatics Inc. has reached an agreement to acquire Dreams Inc., the parent of FansEdge.com. The agreement calls for Fanatics to acquire all the shares of Dreams for $3.45 a share in cash. The $183 million figure includes assumption of $25 million in debt.
The increase in sales was attributed to considerably higher on-line sales, according to Dreams' 10Q filing with the Securities & Exchange Commission. Manufacturing/Distribution revenues decreased 20.7 percent to $3.6 million, compared to $4.5 million a year earlier.
Retail channel revenues increased 32.0 percent to $26.7 million for the three months ended March 31, 2012, from $20,224 for the three months ended March 31, 2011. The increase was driven by considerably higher revenues generated online.
E-Commerce's revenues increased 37.0 percent to $23.0 million during the first three months of 2012, versus $16.8 million for the three months ended March 31, 2011. The increase is a result of its www.FansEdge.com and web syndication growth.
FansEdge stores revenues generated through its ten FansEdge stores increased 15.5 percent to $1.35 million from $1.18 million a year earlier. Same store sales were up 6.0 percent , reflecting operational improvements and enhancements to its merchandise offerings and marketing its in-store kiosks.
Field of Dreams' stores revenues generated through its five
company-owned Field of Dreams stores remained constant at $1.8 million.
Stadium Sales' revenues generated through stadium sales was $577,000 for the current period, up 24.0 percent, compared to $465,000 in stadium revenues for the first three months of 2011.
Cost of sales were 53.6 percent for the three months ended March 31, 2012, versus 54.7 percent for the three months ended March 31, 2011.
Operating expenses were 47.0 percent for the three months ended
March 31, 2012, compared to 51.1 percent. During the first quarter of
2011, the Company accrued approximately $500 for a legal settlement and