Hibbett Sports Inc., an athletic specialty retailer, has announced its financial results for the third quarter ended October 29, 2016. The company’s net sales surged 3.8 per cent to US $ 237 million compared to US $ 228.3 million in the corresponding period last year. Its comparable store sales increased 0.7 per cent.
In the reporting period, net income generated stood at US $ 14.6 million as against last year’s US $ 18.7 million. Gross profit was 35.4 per cent of net sales compared to 36.1 per cent. Store operating, selling and administrative expenses were 23.6 per cent of net sales as against 21.1 per cent of net sales. Hibbett opened 13 new stores, expanded two high performing stores and closed five underperforming stores, bringing the store base to 1,067 in 34 states in the period under review.
Jeff Rosenthal, President and CEO, Hibbett commneted, “Sales softened in September and October as apparel sales became more challenging, principally in our colder-weather categories. As expected, expenses were higher in the quarter due to investments in our ongoing omni-channel initiative, but we also experienced higher expenses in other areas against a favourable third quarter last year.
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The company also unveiled its financial report for the period first nine months ended October 29, 2016. In this period, net sales amounted to US $ 726.0 million, up by 4.1 per cent compared to US $ 697.4 million in the same period last year. Comparable store sales increased 1 per cent. However, net income totalled US $ 49.0 million compared to US $ 53.1 million in the same period last year.
Also, the gross profit earned by the company was 35.4 per cent of net sales which was 35.5 per cent previous year. Store operating, selling and administrative expenses were 22.8 per cent of net sales, while it was 21.5 per cent of net sales in the comparable period prior year.
