Sport Chalet announces fiscal 2007 Q4 & year end results
06 Jun '07
4 min read
"Although our fourth quarter will always be driven largely by winter sports, our continuing focus on geographical expansion and extending the breadth of our merchandise assortment will mitigate any impact of unseasonable weather conditions. Despite this challenging quarter, our strategic direction is the right one for Sport Chalet, and we will continue to make progress during the coming quarters.”
Sales for fiscal 2007 increased 13.1% to $388.2 million from $343.2 million from the prior year. Comparable store sales increased 2.0% for the year on top of the prior year's 1.9% gain. Excluding winter related products, comparable store sales increased 2.1%. Five new stores were opened in fiscal 2007 compared to four new store openings in fiscal 2006.
Gross profit as a percent of sales for the fiscal year was 30.9% which was unchanged from the previous year. Selling, general and administrative (“SG&A”) expenses as a percent of sales were 27.8%, compared to 29.6% in 2006, which included $8.7 million related to the recapitalization that occurred in the second quarter of fiscal 2006. Excluding the effect of the recapitalization, SG&A expenses as a percent of sales were 27.1% in fiscal 2006.
Net income for fiscal 2007 was $7.1 million, or $0.50 per diluted share. This compared to a net loss in fiscal 2006 of $87,000, or $(0.01) per diluted share, including the after-tax charge of $7.8 million, or $0.56 per diluted share, related to the recapitalization.Excluding the effects of the recapitalization, net income in fiscal 2006 was $7.8 million, or $0.55 per diluted share.
Craig Levra, Chairman and CEO, continued, “This past year was an exciting year for Sport Chalet as we successfully embarked on key strategic initiatives, such as Action Pass, while opening five new stores and announcing our expansion plans into our fourth state, Utah."
"We are incorporating significant upgrades into our infrastructure, and our overall growth should increasingly leverage these investments over time, including our new SAP financial and merchandising system. Although the fourth quarter of the year was below plan, the overall progress we made positions us for fiscal 2008 with a strong determination to improve our performance. We have the right team and a solid plan in place to drive Sport Chalet forward into the summer months and the remainder of the fiscal year.”
marketing@alchempro.com
