El Segundo-based Retailer Sees Big Profit Drop
EL SEGUNDO, Calif. — Regional sporting-goods retailer Big 5 Sporting Goods Corp. said Thursday fiscal fourth-quarter net income fell 36 percent, hurt partly by the decline in demand for wheeled shoes.
Quarterly profit fell to $6.2 million, or 28 cents per share, from $9.6 million, or 42 cents per share, in the prior-year quarter.
Revenue fell 1 percent to $232.1 million from $234.5 million last year, hurt by lower traffic amid a difficult consumer environment, as well as lower demand for wheeled shoes.
Profit still beat the consensus estimate of analysts polled by Thomson Financial, who predicted a profit of 26 cents per share on revenue of $232.1 million.
Same-store sales fell 4.7 percent. Same-store sales, or sales in stores open at least one year, is a key measure of a retailer's financial health because it measures growth at existing stores rather than newly opened ones.
For the year, profit fell 9 percent to $28.1 million, or $1.25 per share from $30.8 million, or $1.35 per share last year. Revenue rose 3 percent to $898.3 million from $876.8 million a year ago.
"Like many other retailers, we experienced weak consumer spending during the holiday selling season," Steven G. Miller, company chairman, president and chief executive.
The company also issued first-quarter and yearly guidance below analyst expectations. Shares fell 85 cents, or 7.2 percent, to $11 in aftermarket electronic trading, having closed earlier down 52 cents, or 4.2 percent, at $11.85.