Hibbett Reports Fourth Quarter and Fiscal 2013 Results
Hibbett Reports Fourth Quarter and Fiscal 2013 Results
BIRMINGHAM, Ala.--(BUSINESS WIRE)-- Hibbett Sports, Inc. (NASDAQ/GS: HIBB):
Achieves 13th Consecutive Quarter of Comparable Store Sales Increase
Fourth Quarter Earnings Per Diluted Share Increases 24%
Fiscal Year Earnings Per Diluted Share Increases 27%
Issues Fiscal 2014 Guidance
Hibbett Sports, Inc. (NASDAQ/GS: HIBB), a sporting goods retailer, today announced results for the fourth quarter and fiscal year ended February 2, 2013.
Fourth Quarter Results
Net sales for the 14-week period ended February 2, 2013, increased 14.0% to $217.4 million compared with $190.7 million for the 13-week period ended January 28, 2012. Comparable store sales increased 4.9% on a 13-week to 13-week period.
Gross profit improved to 36.1% of net sales for the 14-week period ended February 2, 2013, compared with 35.8% for the 13-week period ended January 28, 2012.
Store operating, selling and administrative expenses improved to 20.3% of net sales for the 14-week period ended February 2, 2013, compared with 20.9% of net sales for the 13-week period ended January 28, 2012.
Net income for the 14-week period ended February 2, 2013, increased 22.3% to $19.4 million compared with $15.8 million for the 13-week period ended January 28, 2012. Earnings per diluted share increased 23.7% to $0.73 for the 14-week period ended February 2, 2013 compared with $0.59 for the 13-week period ended January 28, 2012. The 14th week added approximately $0.07 in diluted earnings per share to our quarterly and annual results.
For the quarter, Hibbett opened 27 new stores, expanded 4 high performing stores and closed 2 underperforming stores, bringing the store base to 873 in 29 states as of February 2, 2013.
Fiscal 2013 Results
Net sales for the 53-week period ended February 2, 2013, increased 11.8% to $818.7 million compared with $732.6 million for the 52-week period ended January 28, 2012. Comparable store sales increased 6.9% on a 52-week to 52-week period.
Gross profit improved to 36.5% of net sales for the 53-week period ended February 2, 2013, compared with 35.8% for the 52-week period ended January 28, 2012.
Store operating, selling and administrative expenses improved to 20.8% of net sales for the 53-week period ended February 2, 2013, compared with 21.3% of net sales for the 52-week period ended January 28, 2012.
Net income for the 53-week period ended February 2, 2013, increased 22.9% to $72.6 million compared with $59.1 million for the 52-week period ended January 28, 2012. Earnings per diluted share increased 26.5% to $2.72 compared with $2.15 for the 52-week period ended January 28, 2012.
For the year, Hibbett opened 54 new stores, expanded 13 high performing stores and closed 13 underperforming stores.
Jeff Rosenthal, President and Chief Executive Officer, stated, "The holiday season was strong due to solid performance in footwear, apparel, and accessories. Fiscal 2013 results were accomplished by excellent assortments, great customer service, and outstanding support from our distribution team and supplier partners. Looking forward into Fiscal 2014, we are well positioned to continue our growth and are very excited about the investments being made in the business to ensure our future success."
Liquidity and Stock Repurchases
Hibbett ended the fourth quarter of Fiscal 2013 with $76.9 million of available cash and cash equivalents on the consolidated balance sheet, no bank debt outstanding and full availability under its $80.0 million unsecured credit facilities.
During the fourth quarter, the Company repurchased 203,662 shares of common stock for a total expenditure of $11.0 million. For Fiscal 2013, the Company repurchased 903,794 shares of common stock for a total expenditure of $49.9 million. Approximately $245.4 million of the total authorization remained for future stock repurchases as of February 2, 2013.
Fiscal 2014 Outlook
For Fiscal 2014, the Company expects to report diluted earnings per share in the range of $2.85 to $3.05 and an increase in comparable store sales in the low to mid-single digit range. Please note that this compares to Fiscal 2013 that had an approximate $0.07 benefit in earnings per diluted share due to the 53rd week. For Fiscal 2014, the Company expects to open 65 to 70 new stores, expand approximately 18 high performing stores and close 15 to 20 stores.
Investor Conference Call and Simulcast
Hibbett Sports, Inc. will conduct a conference call at 10:00 a.m. ET on Friday, March 15, 2013, to discuss fourth quarter Fiscal 2013 results. The number to call for the live interactive teleconference is (212) 231-2934. A replay of the conference call will be available until March 22, 2013, by dialing (402) 977-9140 and entering the passcode, 21576996.
The Company will also provide an online Web simulcast and rebroadcast of its fourth quarter Fiscal 2013 conference call. The live broadcast of Hibbett's quarterly conference call will be available online at www.hibbett.com under Investor Relations, www.streetevents.com and www.earnings.com, on March 15, 2013, beginning at 10:00 a.m. ET. The online replay will follow shortly after the call and continue through March 22, 2013.
Hibbett Sports, Inc. operates sporting goods stores in small to mid-sized markets, predominately in the South, Southwest, Mid-Atlantic and Midwest regions of the United States. The Company's primary store format is Hibbett Sports, a 5,000-square-foot store located in strip centers and enclosed malls.
A WARNING ABOUT FORWARD LOOKING STATEMENTS:Certain matters discussed in this press release are "forward looking statements" as that term is used in the Private Securities Litigation Reform Act of 1995.Forward looking statements address future events, developments or results and typically use words such as believe, anticipate, expect, intend, plan, forecast, guidance, outlook, or estimate.For example, our forward looking statements include statements regarding store opening, expansion and closing plans, liquidity, sales trends, margin trends, the effects of calendar shifts, earnings per diluted share and comparable store sales.Such statements are subject to risks and uncertainties that could cause actual results to differ materially, including economic conditions, industry trends, merchandise trends, vendor relationships, customer demand, and competition.For a discussion of these factors, as well as others which could affect our business, you should carefully review our Annual Report and other reports filed from time to time with the Securities and Exchange Commission, including the "Risk Factors," "Business" and "MD&A" sections in our Annual Report on Form 10-K filed on March 26, 2012, and our Quarterly Reports on Form 10-Q filed on June 1, 2012, September 4, 2012 and December 4, 2012.In light of these risks and uncertainties, the future events, developments or results described by our forward looking statements in this document could turn out to be materially and adversely different from those we discuss or imply.We are not obligated to release publicly any revisions to any forward looking statements contained in this press release to reflect events or circumstances occurring after the date of this report and you should not expect us to do so.
HIBBETT SPORTS, INC. AND SUBSIDIARIES | ||||||||||||
Unaudited Condensed Consolidated Statements of Operations | ||||||||||||
(Dollars in thousands, except per share amounts) | ||||||||||||
February 2, | January 28, | February 2, | January 28, | |||||||||
(14 Weeks) | (13 Weeks) | (53 Weeks) | (52 Weeks) | |||||||||
Net sales | $ | 217,407 | $ | 190,681 | $ | 818,700 | $ | 732,645 | ||||
Cost of goods sold, distribution center and store occupancy costs | 138,918 | 122,521 | 519,818 | 470,237 | ||||||||
Gross profit | 78,489 | 68,160 | 298,882 | 262,408 | ||||||||
Store operating, selling and administrative expenses | 44,167 | 39,817 | 169,872 | 155,672 | ||||||||
Depreciation and amortization | 3,416 | 3,291 | 13,029 | 13,205 | ||||||||
Operating income | 30,906 | 25,052 | 115,981 | 93,531 | ||||||||
Interest expense, net | 41 | 50 | 168 | 217 | ||||||||
Income before provision for income taxes | 30,865 | 25,002 | 115,813 | 93,314 | ||||||||
Provision for income taxes | 11,506 | 9,178 | 43,231 | 34,254 | ||||||||
Net income | $ | 19,359 | $ | 15,824 | $ | 72,582 | $ | 59,060 | ||||
Net income per common share: | ||||||||||||
Basic earnings per share | $ | 0.75 | $ | 0.60 | $ | 2.78 | $ | 2.19 | ||||
Diluted earnings per share | $ | 0.73 | $ | 0.59 | $ | 2.72 | $ | 2.15 | ||||
Weighted average shares outstanding: | ||||||||||||
Basic | 25,848 | 26,452 | 26,132 | 26,978 | ||||||||
Diluted | 26,359 | 26,983 | 26,638 | 27,506 | ||||||||
HIBBETT SPORTS, INC. AND SUBSIDIARIES | ||||||
Unaudited Condensed Consolidated Balance Sheets | ||||||
(In thousands) | ||||||
February 2, | January 28, | |||||
Assets | ||||||
Cash and cash equivalents | $ | 76,911 | $ | 55,138 | ||
Accounts receivable, net | 5,954 | 6,123 | ||||
Inventories, net | 221,378 | 195,071 | ||||
Prepaid expenses and other | 17,371 | 12,441 | ||||
Total current assets | 321,614 | 268,773 | ||||
Property and equipment, net | 49,076 | 39,596 | ||||
Other assets | 6,641 | 5,327 | ||||
Total assets | $ | 377,331 | $ | 313,696 | ||
Liabilities and Stockholders' Investment | ||||||
Accounts payable | $ | 102,021 | $ | 73,735 | ||
Short-term capital leases | 714 | 173 | ||||
Accrued expenses | 15,980 | 17,750 | ||||
Total current liabilities | 118,715 | 91,658 | ||||
Non-current liabilities | 19,489 | 18,288 | ||||
Stockholders' investment | 239,127 | 203,750 | ||||
Total liabilities and stockholders' investment | $ | 377,331 | $ | 313,696 | ||
HIBBETT SPORTS, INC. AND SUBSIDIARIES | |||||||||||||||
FISCAL 2013 COMPARABLE STORE SALES | |||||||||||||||
AS ORIGINALLY REPORTED AND ADJUSTED FOR WEEK SHIFT (a) | |||||||||||||||
(unaudited) | |||||||||||||||
FISCAL 2013 | |||||||||||||||
First | Second | Third | Fourth | Full | |||||||||||
Comparable store sales increase (originally reported) | 11.1 | % | 4.8 | % | 6.4 | % | 4.9 | % | 6.9 | % | |||||
Comparable store sales increase (adjusted for week shift) | 8.6 | % | 12.5 | % | -0.7 | % | 4.4 | % | 6.0 | % | |||||
Impact of week shift | -2.5 | % | 7.7 | % | -7.1 | % | -0.5 | % | -0.9 | % | |||||
(a) Due to the 53rd week in Fiscal 2013, each quarter in Fiscal 2014 starts one week later than the same quarter in Fiscal 2013. The chart above presents comparable store sales for Fiscal 2013 as originally reported and as adjusted to represent the same 13-week period as the fiscal 2014 quarters. | |||||||||||||||
HIBBETT SPORTS, INC. AND SUBSIDIARIES | |||||||||||||||||||
Supplemental Information | |||||||||||||||||||
(Unaudited) | |||||||||||||||||||
February 2, | January 28, | February 2, | January 28, | ||||||||||||||||
(14 Weeks) | (13 Weeks) | (53 Weeks) | (52 Weeks) | ||||||||||||||||
Sales Information | |||||||||||||||||||
Total sales increase | 14.0 | % | 10.1 | % | 11.8 | % | 10.2 | % | |||||||||||
Comparable store sales increase (13 and 52 weeks) | 4.9 | % | 7.2 | % | 6.9 | % | 6.8 | % | |||||||||||
Store Count Information | |||||||||||||||||||
Beginning of period | 848 | 815 | 832 | 798 | |||||||||||||||
New stores opened | 27 | 20 | 54 | 52 | |||||||||||||||
Stores closed | (2 | ) | (3 | ) | (13 | ) | (18 | ) | |||||||||||
End of period | 873 | 832 | 873 | 832 | |||||||||||||||
Stores expanded | 4 | 2 | 13 | 15 | |||||||||||||||
Estimated square footage at end of period (in thousands) | 5,003 | 4,755 | |||||||||||||||||
Balance Sheet Information | |||||||||||||||||||
Average inventory per store | $ | 253,583 | $ | 234,460 | |||||||||||||||
Share Repurchase Program | |||||||||||||||||||
Shares | 203,662 | 225,170 | 903,794 | 1,897,002 | |||||||||||||||
Cost (in thousands) | $ | 11,008 | $ | 10,107 | $ | 49,852 | $ | 68,613 | |||||||||||
Hibbett Sports, Inc.
Scott J. Bowman, 205-942-4292
Senior Vice President &
Chief Financial Officer
KEYWORDS: United States North America Alabama
INDUSTRY KEYWORDS:
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