Drought doesn't deter Big 5 Sporting Goods

The CEO of Big 5 Sporting Goods Corp. says sales and earnings are growing at the California-based retailer despite the recreational impacts of the drought in that state.

For the second quarter ended June 28, net sales increased to $240.4 million from net sales of $231.2 million for the second quarter of fiscal 2014. Same store sales increased 1.7% for the second quarter of fiscal 2015.Gross profit for the fiscal 2015 second quarter was $77.3 million, compared to $75.6 million in the second quarter of the prior year.Net income for the second quarter of fiscal 2015 was $2.6 million, or $0.12 per diluted share.

"We are pleased to deliver improved sales and earnings growth for the second quarter," said Steven G. Miller, the Company's Chairman, president and CEO. "Despite cycling against the soccer-related business generated by last year's men's World Cup and facing the ongoing economic and recreational impact of the well-publicized drought in our core California markets, we were able to generate same store sales increases in each of our major product categories of apparel, footwear and hardgoods during the period. While these headwinds have continued to impact our third quarter, we remain encouraged by the strength we are experiencing across a number of product categories and we believe we have a strong promotional plan in place to generate positive same store sales for the period."

For the fiscal 2015 third quarter, the company expects same store sales to increase in the low single-digit range and earnings per diluted share to be in the range of $0.28 to $0.34.



During the second quarter of fiscal 2015, the company opened three new stores and closed one store, ending the quarter with 439 stores in operation. During the fiscal 2015 third quarter, the company currently anticipates opening one new store and closing one store. For the fiscal 2015 full year, the company currently anticipates opening approximately eight to ten new stores and closing approximately six stores.



Big 5 operates 439 stores under the "Big 5 Sporting Goods" banner.