Retail revenues rose to $33.3 million compared to $32.6 million last year. The company generated a 3.0% same store sales increase, versus a 13.6% increase last year. Retail gross margin increased 420 basis points to 54.0%. During the second quarter, it opened one and closed five retail stores, ending the quarter with 95 locations, including the company's Internet store.
For the first six months of fiscal 2006, net sales increased 29.0% to $237.8 million from $184.3 million last year. Net income grew to $23.6 million, or $1.07 per diluted share, compared to $6.2 million, or $0.31 per diluted share, in the first half of fiscal 2005.
"Our team delivered a record second quarter, which was driven by exceptional, trend-right product created by Steve and his team. We are particularly pleased to have achieved both sales and margin improvements in both the wholesale and retail divisions, highlighting the broad-based strength of our business," stated Jamieson Karson, Chairman and CEO.
"Also during the quarter, we furthered our evolution into a global branded lifestyle company by signing license agreements for watches and Stevies girls apparel. Complementing our core footwear category with a growing portfolio of brand extensions enables us to expand our reach and maximize our future growth opportunities."
"We continue to maintain a solid financial foundation upon which to grow our business over the long-term," said Arvind Dharia, CFO. "At the end of the quarter, we had $90.6 million of cash and investment securities, no short- or long-term debt, and $200.8 million in stockholders' equity. In addition, we continued our commitment to return capital to our shareholders by repurchasing 127,900 shares for an aggregate of $3.5 million during the quarter."
marketing@alchempro.com
