Sales rise just 3.18% at Big 5 Sporting Goods in FY'12

"This marked our first quarterly same store sales increase since the third quarter of 2010 and our first quarter of merchandise margin growth since the first quarter of 2011. We believe this positive trending reflects the growing impact of the merchandise and marketing initiatives that we have been implementing over the last several quarters. The improved performance was particularly evident with our softgoods products, as we experienced the strongest quarterly growth in both our apparel and footwear categories since 2006."

Mr. Miller continued, "Our positive momentum has continued in the third quarter and, as anticipated, sales in early July also benefited from the calendar shift of the Fourth of July holiday further into the third quarter this year. Looking forward, we plan to continue our efforts to broaden our appeal in today's consumer environment while providing the core value, quality and convenience that have been hallmarks of Big 5 for over 55 years."

Share Repurchases

During the fiscal 2012 second quarter, the Company repurchased 131,420 shares of its common stock for a total expenditure of $0.9 million. As of the end of the second quarter, the Company had approximately $10.9 million available for future stock repurchases under its $20.0 million share repurchase program authorized in the fiscal 2007 fourth quarter.

Guidance

For the fiscal 2012 third quarter, the Company expects same store sales in the positive low to mid-single-digit range and earnings per diluted share in the range of $0.28 to $0.34. This guidance includes an estimated pre-tax charge of approximately $0.4 million, or $0.01 per diluted share, to provide for the closing of one underperforming store that had been expected to close in the second quarter. For comparative purposes, the Company's earnings per diluted share for the third quarter of fiscal 2011 were $0.27.

Store Openings

During the second quarter of fiscal 2012, the Company opened three stores, one of which relates to a relocation, and closed three stores, one of which relates to a relocation. The Company ended the fiscal 2012 second quarter with 407 stores in operation. During the fiscal 2012 third quarter, the Company anticipates opening three new stores, one of which relates to a relocation, and closing two stores, one of which relates to a relocation. 

During the fiscal 2012 fourth quarter, the Company currently anticipates opening approximately nine stores and closing one store that relates to a relocation. For the fiscal 2012 full year, the Company currently anticipates opening approximately thirteen new stores, relocating three stores and closing three stores. The Company currently expects to end fiscal 2012 with approximately 416 stores in operation.

Big 5 is a leading sporting goods retailer in the western United States, operating 406 stores in 12 states under the "Big 5 Sporting Goods" name. Big 5 provide a full-line product offering in a traditional sporting goods store format that averages 11,000 square feet.

Big 5 Sporting Goods Corporation