Omega Sports, the sporting goods retailer based in Greensboro, NC, reported it is closing its brick-and-mortar and e-commerce operations after 45 years of business.
“We are saddened to confirm that Omega Sports will close its doors and shut down its e-commerce operation,” the company posted on its website. The company said the decision was made after conferring with Omega’s financial and legal advisors.
Founded in 1978 by Phil Bowman and Thom Rock and later joined by Robert Hager, Omega Sports grew from a single store in Greensboro, NC to 14 North Carolina locations in the Triad, Triangle and Charlotte areas, as well as Burlington, Greenville, High Point, Morrisville, Wilmington, and Wilson.
In 2017, Craig Carlock, the former CEO of The Fresh Market, purchased Omega Sports, Inc. Phil Bowman stayed with the company, but Thom Rock retired.
The retailer, which operated all its stores in North Carolina, filed for bankruptcy on March 25, 2021, in the Western District of North Carolina. The filing listed about $5.56 million in liabilities and between 100 and 199 creditors. Omega Sports filed a reorganization plan that called for the retailer to emerge from bankruptcy proceedings around its seven remaining stores and to pay off creditors over the next three years.
At the time of the filing, Omega Sport’s financial projections called for total revenue of $10.3 million in fiscal 2021, $13 million in fiscal 2022, $14.7 million in fiscal 2023, and $16 million in fiscal 2024. The retailer forecasted online sales at 16.7 percent of total revenue in 2021, 16.5 percent in 2022, 17.6 percent in 2023, and 18.5 percent in 2024. Losses of $1.12 million and $33,000 were projected for fiscal 2021 and 2022, respectively, but a return to profitability was expected by 2023. Profits were expected to reach $318,000 in 2023 and $726,000 in 2024.
Omega said this week that the challenges presented by COVID-19 and the subsequent supply chain shortages, wage and cost inflation, and economic uncertainties had taken their toll on the business. The company intends an orderly wind-down of operations from now through early summer.
“We are grateful for our incredible team of dedicated employees who have unselfishly and professionally served our customers and communities for over four decades,” the company posted. “We are equally thankful for our longtime customers who have been loyal, supportive and faithful to Omega Sports.”