The Sportsman's Guide, Inc. anniversaried its acquisition of The Golf Warehouse in its most recent quarter, with total net sales of $61.5 million, compared to $57.0 million for last year's third quarter. The nearly 8% increase in consolidated net sales, was the result of sales growth at both The Golf Warehouse and The Sportsman's Guide, with TGW posting “especially strong” growth. For the quarter, Internet sales totaled “nearly 60%” of total sales for the group as a whole. Gross margins improved 200 basis points to 31.7% of sales from 29.6% for last year’s third quarter. This big margin gain was only slightly offset by a 40 basis point increase in SG&A expenses to 26.0% of sales.

Net earnings for the quarter were $2.2 million, a 57.1% increase over the $1.4 million reported during Q3 2004. This translated to an 11 cent increase in diluted earnings per share to 26 cents per share from 17 cents for the same quarter last year. The earnings per share numbers for 2004 have been restated to reflect the company's change in accounting policy for Buyer's Club revenues announced in June of this year and adjusted to reflect the 3-for-2 stock split, distributed April 15, 2005.