Hibbett Sports, Inc. reported that net sales for the fiscal second quarter ended July 30 increased 9.5 percent to $153.1 million compared with $139.8 million for the year-ago period. Comparable store sales increased 5.9 percent for the 13-week period. Net income for the quarter increased 48.0 percent to $5.9 million, or 21 cents per diluted share, compared to $4.0 million, or 14 cents per diluted share, for the 13-week period ended July 31, 2010.
Net sales for the 26-week period ended July 30, 2011, increased 10.0 percent to $356.8 million compared with $324.3 million for the 26-week period ended July 31, 2010. Comparable store sales increased 6.4 percent. Net income for the 26-week period ended July 30, 2011, was $27.3 million compared with $21.4 million for the 26-week period ended July 31, 2010. Earnings per diluted share increased 34.6 percent to 98 cents compared with 73 cents for the 26-week period ended July 30, 2010.
Jeff Rosenthal, president and CEO, stated, “Our performance in second quarter is our seventh consecutive quarter of comparable store sales increases and our eighth consecutive quarter of earnings increases. The true nature of our success is our great employees and their dedication to providing exceptional service to our customers. We continue to see strength in our active wear and footwear businesses. We are well positioned entering the back-to-school season and have experienced continued positive sales trends to date in the third quarter.”
For the second quarter, Hibbett opened 8 new stores, expanded 5 high performing stores and closed 5 under-performing stores, bringing the store base to 802 in 26 states as of July 30, 2011. In Fiscal 2012, the Company expects to open approximately 50 to 55 new stores, expand 15 high performing stores and close 10 to 15 stores.
Liquidity and Stock Repurchases
Hibbett ended the second quarter of Fiscal 2012 with $65.2 million of available cash and cash equivalents on the consolidated balance sheet, no bank debt and full availability under its $80.0 million unsecured credit facilities.
During the second quarter, the Company repurchased 240,405 shares of common stock for a total expenditure of $9.4 million. Approximately $180.2 million of the current $250.0 million authorization remains for future stock repurchases.
Fiscal 2012 Outlook
The company increased its earnings guidance for Fiscal 2012 to a range of $1.90 to $2.00 per diluted share with a comparable store sales increase in the mid-single digit range.
|HIBBETT SPORTS, INC. AND SUBSIDIARIES|
|Unaudited Condensed Consolidated Statements of Operations|
|(Dollars in thousands, except per share amounts)|
|Thirteen Weeks Ended||Twenty-Six Weeks Ended|
|July 30,||July 31,||July 30,||July 31,|
Cost of goods sold, distribution
center and store occupancy costs
Store operating, selling and administrative
|Depreciation and amortization||3,300||3,377||6,580||6,869|
|Interest expense, net||60||44||116||51|
|Income before provision for income taxes||9,308||6,437||43,392||34,106|
|Provision for income taxes||3,368||2,424||16,115||12,752|
|Net income per common share:|
|Basic earnings per share||$||0.22||$||0.14||$||1.00||$||0.74|
|Diluted earnings per share||$||0.21||$||0.14||$||0.98||$||0.73|