Action sport retailer West 49 Inc reported its sales performance for the second quarter of fiscal 2007, ended July 29th 2006.
Sales for the quarter increased 49.2 percent to $39.7 million from $26.6 million for the second quarter of last year.
Most of the growth was attributable to last year's acquisitions of banners Off the Wall, Amnesia/Arsenic, D-Tox, and online retailer, Board Zone, and new stores opened since the second quarter of last year. At the end of the quarter, the company was operating 118 stores under seven banners compared to 75 stores under three banners the year before.
The company reported second quarter comparable store sales growth of 0.3 percent (1), compared to the same period last year. Comparable store sales from the company's core West 49 banner decreased by 2.9 percent, following exceptionally strong comparable store sales growth of 13.9 percent in the second quarter the year before.
During the quarter, the company opened seven new stores, including one West 49 store, one Billabong store, four D-Tox stores, and the first store under the new banner, Duke's Northshore. It closed one West 49 store (Belleville, Ontario) as previously reported.
"Our expanded scale, resulting from the strategic acquisitions we made last year and new store openings, continued to result in top line growth in the second quarter," said Sam Baio, CEO of West 49 Inc.
"With a target of opening 20 new stores for the fiscal year, and in keeping with our strategy of expanding regional banners into new geographical markets, during the quarter we opened D-Tox stores in the Chinook Centre in Calgary, Alberta and in Champlain Place in Moncton, New Brunswick. With our other store openings during the quarter we have now opened a total of 12 new stores year-to-date. Importantly, as we move forward into the second half of the year, our inventory at existing and new stores are positioned well for the essential and busy back-to-school season," Sam added.