West Marine, Inc. reported that comparable store sales for the thirteen weeks ended June 30, 2007 decreased 2.9%. Net sales for the period were $247.8 million, a decrease of 6.3% from net sales of $264.5 million a year ago.
Comparable store sales for the twenty-six weeks ended June 30, 2007 decreased 2.8%. Net sales for the twenty-six weeks ended June 30, 2007 were $373.8 million, a decrease of 5.9% from net sales of $397.2 million a year ago.
Net sales attributable to the Stores segment for the first six months of 2007 were $326.2 million, a decrease of $23.8 million, or 6.8%, versus the same period last year. The sales decrease primarily resulted from the closure of under-performing locations during the second half of last year. Port Supply (wholesale) segment sales through the distribution centers for the first six months of 2007 were $23.8 million, a decrease of $0.1 million, or 0.4%, compared to the same period last year. Port Supply segment results do not include sales to wholesale customers through store locations, as these sales are included in the Stores segment. Net sales of the Direct Sales (catalog and Internet) segment for the first six months of 2007 were $23.9 million, an increase of $0.5 million, or 2.3%, compared to the same period last year, due to increased Internet sales.
Peter Harris, Chief Executive Officer of West Marine, said, “As was described in our earnings guidance on June 26th, sales results during the peak part of the season reflected lower than expected levels of boating activity and were disappointing. The softness was particularly evident in Florida. Also, sales of higher-priced discretionary items have been weak, and in-store traffic levels, which we believe reflect boat usage, have been lower than expected. Even in this challenging environment, we continue to focus on maximizing sales by serving our customers and achieving high merchandise in-stock levels.”
