Big 5 Sporting delivers outstanding second quarter performance

06 Aug '09

4 min read

"Our positive results underscore the strength of our business model and ability to execute during these challenging economic times. We continue to maintain tight control of our expenses and conservatively manage our inventory and balance sheet. Our inventory levels were 6% lower on a per-store basis at the end of the second quarter compared to the prior year, and our operating cash flow increased 34% to $28.5 million for the first half of the year. As a result, we continued to reduce our debt levels, to $73 million at quarter end, which is a $31 million decrease compared to the end of the second quarter last year."

Mr. Miller continued, "We are encouraged that the positive trends in customer traffic and sales have continued into the third quarter. Customers are clearly recognizing and responding to the tremendous values that we provide on quality merchandise. While the timing of an economic recovery is uncertain, we believe that we are in a strong competitive and financial position to drive bottom line performance in today's consumer environment."

Quarterly Cash Dividend
The Company's Board of Directors has declared a quarterly cash dividend of $0.05 per share of outstanding common stock, which will be paid on September 15, 2009 to stockholders of record as of September 1, 2009.

Guidance
For the fiscal 2009 third quarter, the Company expects same store sales in the flat to positive low-single digit range and earnings per diluted share in the range of $0.27 to $0.34. For comparative purposes, the Company's earnings per diluted share for the third quarter of fiscal 2008 were $0.21.

Big 5 Sporting Goods Corporation

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