Sport Haleys fiscal first quarter results were encouraging for management, but the company let a 9% increase in SG&A costs prevent a positive net income. The net loss did, however, decrease 7% from $173,000 to $161,000, showing some improvement. The loss per share was up slightly to 7 cents from 6 cents. Sales for the quarter were up 14% to $4.3 million while gross margins fell 230 bps to 37.2% from 39.5%.
Much of the increased SG&A costs were attributed to commissions and royalties directly linked to the increased sales of Ben Hogan apparel. “While we are disappointed that we were unable to generate operating income in the first quarter, we are certainly pleased with the continued positive trend in sales of Ben Hogan” said company CEO Kevin Tomlinson.
Tomlinson went on to say that he is optimistic about the upcoming quarter. “ our Company's bookings for the upcoming spring season are greater than bookings were for the spring season at this time last year ”
