Big 5 Sporting Q4 diluted EPS mounts 21%

26 Feb '14

4 min read

We were able to offset most of the sales softness caused by these factors with positive performance in a number of our other product categories, which we believe reflects the favorable customer response to our merchandising and marketing strategies. For the quarter, same store sales in our apparel category increased in the low double-digit range, footwear sales were slightly positive and hardgoods sales decreased in the mid-single-digit range, primarily due to the lower demand for firearms and ammunition products.

Our ability to improve product margins and control operating expenses enabled us to achieve over 20% growth in earnings for the quarter and conclude fiscal 2013 with 84% earnings growth over the prior year."

Mr. Miller continued, "While we are pleased with our performance in 2013, we anticipate a very challenging first quarter of 2014 as we face comparisons against the peak of the surge in demand for firearms and ammunition products and favorable winter weather last year.

For the start of the first quarter, we have experienced exceptionally unfavorable winter weather in most of our key western markets, with extreme drought conditions leading to reduced demand for winter products. Given these factors and the resulting impact on traffic levels in our stores, we are currently anticipating a high single-digit decrease in same store sales for the first quarter.

Excluding winter and firearms and ammunition products, our sales are performing positively for the quarter to date. As we look beyond the first quarter, we believe that these pressures will ease to a large degree and we should be in a position to produce positive same store sales over the balance of the year."

Quarterly Cash Dividend

The Company's Board of Directors has declared a quarterly cash dividend of $0.10 per share of outstanding common stock, which will be paid on March 21, 2014 to stockholders of record as of March 7, 2014.

Big 5 Sporting Goods

More Big 5 Sporting Goods Corporation News... More Apparel/Garments News - United States Of America...