Winmark Corporation, the parent of Play It Again Sports, reported net income for the first quarter ended Mar. 28 of $6.05 million, or $1.17 cents a share, a gain of 29.2 percent against the year-ago period.
Total revenue grew 44.5 percent to $21.0 million. Royalties grew 10.4 percent to $9.7 million while leasing income more than doubled to $10.0 million form $4.4 million.
John L. Morgan, chairman and CEO, said, “Both our franchising and leasing businesses exhibited solid top-line growth in the first quarter which led to a 34 percent increase in operating income. We are pleased with our start to the year.”
According to its recently-released 10K, Play It Again Sports had sales of $227 million last year, about flat with $228 million in 2013. It had 301 stores open at year end, opening five and closing four.
Play It Again Sports contributed royalty income of $9.4 million in 2014, the same level as 2013, and made up 16.9 percent of Winmark’s revenues. The Once Upon a Child concept is a slightly larger franchise operation and Plato's Closet is Winmark's largest. As of March 28, Winmark had 1,099 franchises with an additional 110 retail franchises have been awarded but are not open.
