- Achieves First Quarter Earnings per Diluted Share of
- Reduces Long-Term Debt by 21% During the First Quarter
- Declares Quarterly Cash Dividend of
$0.05 per Share
EL SEGUNDO, Calif.,
For the fiscal 2009 first quarter, net sales were
Gross profit for the fiscal 2009 first quarter was
Selling and administrative expense as a percentage of net sales improved
to 29.4% in the fiscal 2009 first quarter versus 29.7% in the first quarter of
the prior year. The Company leveraged selling and administrative expense in
the quarter by reducing expenses despite operating 17 more stores than the
prior year. Overall selling and administrative expense declined
Net income for the first quarter of fiscal 2009 was
"We are pleased with our first quarter performance in this challenging
economic environment," said
Mr. Miller continued, "The positive sales trends that we experienced in March have continued in the second quarter. Although we recognize that the overall consumer environment remains very challenging, we are encouraged by our recent sales performance and remain confident in our strategy to weather the current economic climate. We intend to continue to conservatively manage our business and focus on increasing market share by providing our customers with the compelling values that are the foundation of our business model."
Quarterly Cash Dividend
The Company's Board of Directors has declared a quarterly cash dividend of
Guidance
For the fiscal 2009 second 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
Store Openings
During the first quarter of fiscal 2009, the Company did not open any new stores or close any stores and continued to operate 381 stores. The Company anticipates opening one new store during the fiscal 2009 second quarter and continues to expect the number of new store openings in fiscal 2009 to be substantially lower than fiscal 2008.
Conference Call Information
The Company will host a conference call and audio webcast today at
About
Big 5 is a leading sporting goods retailer in the western
Except for historical information contained herein, the statements in this
release are forward-looking and made pursuant to the safe harbor provisions of
the Private Securities Litigation Reform Act of 1995. Forward-looking
statements involve known and unknown risks and uncertainties and other factors
that may cause Big 5's actual results in current or future periods to differ
materially from forecasted results. Those risks and uncertainties include,
among other things, continued or worsening weakness in the consumer spending
environment and the U.S. financial and credit markets, the competitive
environment in the sporting goods industry in general and in Big 5's specific
market areas, inflation, product availability and growth opportunities,
seasonal fluctuations, weather conditions, changes in cost of goods, operating
expense fluctuations, disruption in product flow, changes in interest rates,
credit availability, higher costs associated with current and new sources of
credit resulting from uncertainty in financial markets and economic conditions
in general. Those and other risks and uncertainties are more fully described
in Big 5's filings with the
FINANCIAL TABLES FOLLOW
BIG 5 SPORTING GOODS CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
(In thousands, except share amounts)
March 29, December 28,
2009 2008
--------- ------------
ASSETS
Current assets:
Cash and cash equivalents $4,607 $9,058
Accounts receivable, net of allowances of
$288 and $305, respectively 8,930 16,611
Merchandise inventories, net 222,302 232,962
Prepaid expenses 6,978 8,201
Deferred income taxes 7,741 8,333
----- -----
Total current assets 250,558 275,165
------- -------
Property and equipment, net 91,246 94,241
Deferred income taxes 13,144 13,363
Other assets, net of accumulated amortization
of $306 and $293, respectively 1,100 1,155
Goodwill 4,433 4,433
----- -----
Total assets $360,481 $388,357
======== ========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable $86,054 $88,079
Accrued expenses 47,545 55,862
Current portion of capital lease obligations 2,303 1,942
----- -----
Total current liabilities 135,902 145,883
------- -------
Deferred rent, less current portion 24,465 24,960
Capital lease obligations, less current portion 3,340 2,948
Long-term debt 76,547 96,499
Other long-term liabilities 6,328 6,267
----- -----
Total liabilities 246,582 276,557
------- -------
Commitments and contingencies
Stockholders' equity:
Common stock, $0.01 par value, authorized
50,000,000 shares; issued 22,995,586 and
23,004,087 shares, respectively;
outstanding 21,512,291 and 21,520,792
shares, respectively 230 230
Additional paid-in capital 93,119 92,704
Retained earnings 41,916 40,232
Less: Treasury stock, at cost; 1,483,295 and
1,483,295 shares, respectively (21,366) (21,366)
------- -------
Total stockholders' equity 113,899 111,800
------- -------
Total liabilities and stockholders'
equity $360,481 $388,357
======== ========
BIG 5 SPORTING GOODS CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(In thousands, except per share data)
13 Weeks Ended
--------------
March 29, March 30,
2009 2008
--------- ---------
Net sales $210,291 $212,866
Cost of sales 143,219 141,283
------- -------
Gross profit 67,072 71,583
Selling and administrative expense 61,838 63,230
------ ------
Operating income 5,234 8,353
Interest expense 713 1,589
--- -----
Income before income taxes 4,521 6,764
Income taxes 1,761 2,644
----- -----
Net income $2,760 $4,120
====== ======
Earnings per share:
Basic $0.13 $0.19
===== =====
Diluted $0.13 $0.19
===== =====
Dividends per share $0.05 $0.09
===== =====
Weighted-average shares of common
stock outstanding:
Basic 21,414 21,886
====== ======
Diluted 21,424 21,926
====== ======
SOURCE
CONTACT:
Web Site: http://www.big5sportinggoods.com