Hibbett Sports Misses Q1 Expectations

reported weaker-than-expected results for the first quarter and lowered its forecast for the full year. The Birmingham, Alabama-based company reported quarterly earnings of $27.4 million, or $1.09 per share, compared with $28.4 million, or $1.09 per share, in the year-ago period. Its revenue rose 3 percent year-over-year to $269.8 million from $261.9 million. However, analysts were expecting earnings of $1.13 per share on revenue of $274.1 million. The average estimate among 8 Estimize users was for earnings of $1.16 per share and revenue of $278.36 million. Comparable store sales slipped 0.9 percent in the quarter. Its gross profit for the quarter narrowed to 37.0 percent of net sales, from 37.5 percent in the year-ago quarter. Store operating, selling and administrative expenses widened to 19.2% of net sales, versus 18.7 percent of net sales. During the first quarter, the company opened fifteen new stores, expanded three high performing stores and closed two underperforming stores. The company repurchased 194,764 shares of common stock for a total $9.5 million during the quarter. Hibbett ended the quarter with $119.1 million in available cash and cash equivalents. Jeff Rosenthal, President and Chief Executive Officer, stated, "We experienced early headwinds in the quarter, with February posting a negative high-single-digit comp due to impacts from weather-related closures, port delays and a shift in the timing of tax refunds. We were pleased with our performance in March and April, and we have seen this trend improve in May." For the full year, Hibbett projects earnings of $2.95 to $3.04 per share, versus earlier forecast of $2.95 to $3.09 per share. The company now projects comparable store sales in the low single-digit range. Hibbett shares rose 0.11 percent to close at $45.78 yesterday.