Printer Friendly

SPORTMART REPORTS INCREASE IN SECOND QUARTER SALES AND NET INCOME

 NILES, ILL., Aug. 27 /PRNewswire/ -- Sportmart, Inc. (NASDAQ-NMS: SPMT) today announced net sales of $91,702,000 for the second quarter ended Aug. 1, 1993, an increase of 37.3 percent over net sales of $66,783,000 in the comparable quarter ended Aug. 2, 1992. Sales in comparable marts (units open more than one year) increased 4 percent.
 Net income for the quarter increased 28.8 percent to $4,314,000, or 42 cents per share as compared to a pro forma net income of $3,349,000, or 40 cents per share for the prior year, as weighted average shares outstanding increased 22 percent to 10,235,000 from 8,361,211. Pro forma net income includes adjustments to reflect an income tax provision as if Sportmart had been subject to federal and state income taxes during the period prior to the initial public offering.
 For the 26 weeks ended Aug. 1, 1993, net sales were $158,572,000, an increase of 33.2 percent over last year's net sales of $119,014,000. Sales in comparable marts increased 2.7 percent over last year. Net income increased 30.2 percent to $5,106,000, or 50 cents per share as compared to a pro forma net income of $3,921,000, or 47 cents per share for the 26 weeks ended Aug. 2, 1992, reflecting the 22 percent increase in average shares outstanding.
 Larry J. Hochberg, chairman and chief executive officer, said, "We are pleased with our second quarter results, especially with the comparable mart sales performances, which were positive despite a continued soft economy in Southern California. We also successfully opened an additional mart during the second quarter in Northern California which brought our total number of marts in operation at the end of the quarter to 34. We continue to be pleased with both sales and profit in the new marts opened during the past year and with our expense control results during the quarter."
 Sportmart is pursuing expansion opportunities in its existing markets of Chicago, Los Angeles, Minneapolis/St. Paul, San Diego, San Francisco/Sacramento and St. Louis, as well as new market entries into Seattle and Portland during the fall of 1993.
 Sportmart currently operates 34 Sportmart sporting goods superstores and four No Contest athletic footwear and apparel superstores, compared with 25 Sportmart sporting goods superstores and two No Contest athletic footwear and apparel superstores at the end of last year's second quarter. The company expects to open an additional 8 new Sportmart sporting goods superstores during the remainder of fiscal 1993.
 Sportmart common stock is traded on the NASDAQ National Market System with the symbol SPMT.
 SPORTMART, INC.
 CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
 (Amounts in thousands, except share data)
 13 weeks ended 26 weeks ended
 8/1/93 8/2/92 8/1/93 8/2/92
 Net sales $91,702 $66,783 $158,572 $119,014
 Cost of sales,
 including buying,
 distribution and
 occupancy 67,504 48,376 117,933 87,370
 Operating expenses:
 Mart and general and
 administrative
 expenses 16,401 12,537 31,171 24,417
 Mart pre-opening
 expenses 203 0 243 0
 Operating income 7,594 5,870 9,225 7,227
 Interest, net (660) (514) (1,114) (974)
 Other income 77 134 137 174
 Income before income
 taxes 7,011 5,490 8,248 6,427
 Provision for income
 taxes (2,697) (263) (3,142) (307)
 Net income $4,314 $5,227 $5,106 $6,120
 Pro forma data:
 Income before income
 taxes, as reported $7,011 $5,490 $8,248 $6,427
 Pro forma provision
 for income taxes (2,697) (2,141) (3,142) (2,506)
 Pro forma net income $4,314 $3,349 $5,106 $3,921
 Net income per share
 (pro forma for
 fiscal 1992) $0.42 $0.40 $0.50 $0.47
 Weighted average
 number of common
 shares outstanding
 (Pro forma for
 fiscal 1992) 10,235,000 8,361,211 10,235,000 8,361,211
 SPORTMART, INC.
 CONDENSED CONSOLIDATED BALANCE SHEETS
 (Amounts in thousands)
 8/1/93 1/31/93
 ASSETS
 Current assets:
 Cash and cash equivalents $3,903 $820
 Merchandise inventories 101,478 78,210
 Other assets 2,990 3,328
 Total current assets $108,371 $82,358
 Property and equipment, net 32,388 27,421
 Other assets 694 493
 Total assets $141,453 $110,272
 LIABILITIES AND STOCKHOLDERS' EQUITY
 Current liabilities $51,374 $36,623
 Long-term liabilities 27,629 16,305
 Total liabilities $79,003 $52,928
 Stockholders' equity:
 Common stock 102 102
 Additional paid-in capital 46,942 46,942
 Retained earnings 15,406 10,300
 Total stockholders' equity $62,450 $57,344
 Total liabilities and
 stockholders' equity $141,453 $110,272
 -0- 8/27/93
 /CONTACT: Doug Ewing of Swenson/Falker Associates Inc., 612-371-0000 or Thomas Hendrickson of Sportmart, Inc., 708-966-1700, Ext. 422./
 (SPMT)


CO: Sportmart, Inc. ST: Illinois IN: REA SU: ERN

KH-AL -- MN001 -- 6487 08/27/93 09:01 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Aug 27, 1993
Words:823
Previous Article:UNIROYAL CHEMICAL COMPANY, INC. $270 MILLION DEBT OFFERING BECOMES EFFECTIVE
Next Article:DRS INDUSTRIES REPORTS ADDITIONAL INFORMATION CONCERNING RESULTS
Topics:

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters