Big 5 Sporting Goods Corporation Announces Fiscal 2010 Fourth Quarter And Full-Year Results; Increases Quarterly Cash Dividend By 50%

Conference Call Information

The Company will host a conference call and audio webcast today, March 1, 2011, at 2:00 p.m. Pacific (5:00 p.m. EST) to discuss financial results for the fiscal 2010 fourth quarter and full year. To access the conference call, participants in North America should dial [phone], and international participants should dial [phone]. Participants are encouraged to dial in to the conference call ten minutes prior to the scheduled start time. The call will also be broadcast live over the Internet and accessible through the Investor Relations section of the Company's website at www.big5sportinggoods.com . Visitors to the website should select the "Investor Relations" link to access the webcast. The webcast will be archived and accessible on the same website for 30 days following the call. A telephone replay will be available through March 15, 2011 by calling [phone]; passcode is 7158027.

About Big 5 Sporting Goods Corporation

Big 5 is a leading sporting goods retailer in the western United States, operating 396 stores in 12 states under the "Big 5 Sporting Goods" name. Big 5 provides a full-line product offering in a traditional sporting goods store format that averages 11,000 square feet. Big 5's product mix includes athletic shoes, apparel and accessories, as well as a broad selection of outdoor and athletic equipment for team sports, fitness, camping, hunting, fishing, tennis, golf, snowboarding and roller sports.

Except for historical information contained herein, the statements in this release are forward-looking and made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve known and unknown risks and uncertainties and other factors that may cause Big 5's actual results in current or future periods to differ materially from forecasted results. Those risks and uncertainties include, among other things, continued or worsening weakness in the consumer spending environment and the U.S. financial and credit markets, the competitive environment in the sporting goods industry in general and in Big 5's specific market areas, inflation, product availability and growth opportunities, seasonal fluctuations, weather conditions, changes in cost of goods, operating expense fluctuations, disruption in product flow, changes in interest rates, credit availability, and higher costs associated with sources of credit resulting from uncertainty in financial markets and economic conditions in general. Those and other risks and uncertainties are more fully described in Big 5's filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K/A for the fiscal year ended January 3, 2010 and Quarterly Report on Form 10-Q for the fiscal quarter ended October 3, 2010. Big 5 conducts its business in a highly competitive and rapidly changing environment. Accordingly, new risk factors may arise. It is not possible for management to predict all such risk factors, nor to assess the impact of all such risk factors on Big 5's business or the extent to which any individual risk factor, or combination of factors, may cause results to differ materially from those contained in any forward-looking statement. Big 5 undertakes no obligation to revise or update any forward-looking statement that may be made from time to time by it or on its behalf.

FINANCIAL TABLES FOLLOW

BIG 5 SPORTING GOODS CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
(In thousands, except share amounts)
	January 2, 2011	January 3, 2010
ASSETS
Current assets:
Cash and cash equivalents	$ 5,620	$ 5,765
Accounts receivable, net of allowances of $201 and $223, respectively	15,000	13,398
Merchandise inventories, net	254,217	230,911
Prepaid expenses	7,588	9,683
Deferred income taxes	9,447	7,723
Total current assets	291,872	267,480
Property and equipment, net	81,333	81,817
Deferred income taxes	12,396	11,327
Other assets, net of accumulated amortization of $69 and $346, respectively	2,322	1,065
Goodwill	4,433	4,433
Total assets	$ 392,356	$ 366,122
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable	$ 94,818	$ 85,721
Accrued expenses	64,392	59,314
Current portion of capital lease obligations	1,925	1,904
Total current liabilities	161,135	146,939
Deferred rent, less current portion	24,349	23,832
Capital lease obligations, less current portion	1,569	2,278
Long-term debt	48,313	54,955
Other long-term liabilities	6,264	6,257
Total liabilities	241,630	234,261
Commitments and contingencies
Stockholders' equity:
Common stock, $0.01 par value, authorized 50,000,000 shares;
issued 23,315,832 and 23,050,061 shares, respectively;
outstanding 21,832,537 and 21,566,766 shares, respectively	233	230
Additional paid-in capital	97,910	95,259
Retained earnings	73,949	57,738
Less: Treasury stock, at cost; 1,483,295 shares	(21,366)	(21,366)
Total stockholders' equity	150,726	131,861
Total liabilities and stockholders' equity	$ 392,356	$ 366,122

BIG 5 SPORTING GOODS CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(In thousands, except per share data)
	Fiscal Quarter Ended (1)		Fiscal Year Ended (1)
	January 2, 2011	January 3, 2010	January 2, 2011	January 3, 2010
Net sales (2)	$ 226,711	$ 237,629	$ 896,813	$ 895,542
Cost of sales	150,931	156,790	599,101	597,792
Gross profit (2)	75,780	80,839	297,712	297,750
Selling and administrative expense (2) (3)	69,122	69,874	263,488	260,068
Operating income	6,658	10,965	34,224	37,682
Interest expense	738	582	2,108	2,465
Income before income taxes	5,920	10,383	32,116	35,217
Income taxes	1,966	3,997	11,554	13,406
Net income (2) (3)	$ 3,954	$ 6,386	$ 20,562	$ 21,811
Earnings per share (2) (3):
Basic	$ 0.18	$ 0.30	$ 0.95	$ 1.02
Diluted	$ 0.18	$ 0.29	$ 0.94	$ 1.01
Dividends per share	$ 0.05	$ 0.05	$ 0.20	$ 0.20
Weighted-average shares of common stock outstanding:
Basic	21,590	21,457	21,552	21,434
Diluted	21,923	21,840	21,890	21,657
(1) Fiscal 2010 comprised a 13-week fourth quarter and a 52-week fiscal year, whereas fiscal 2009 comprised a 14-week fourth quarter and a 53-week fiscal year.
(2) In the fourth quarter of fiscal 2010, the Company recorded a net pre-tax charge of $2.3 million, reflecting a legal settlement accrual, of which $0.8 million was classified as a reduction to net sales and $1.5 million was classified as selling and administrative expense. This charge reduced net income in fiscal 2010 by $1.5 million, or $0.07 per diluted share.
(3) In the fourth quarter of fiscal 2009, the Company recorded a net pre-tax charge of $1.0 million, which reflected a legal settlement accrual offset by proceeds received from the settlement of a lawsuit relating to credit card fees. This charge reduced net income in fiscal 2009 by $0.6 million, or $0.03 per diluted share.

CONTACT: Big 5 Sporting Goods Corporation
         Barry Emerson
         Sr. Vice President and Chief Financial Officer
         [phone]
         
         ICR, Inc.
         John Mills
         Senior Managing Director
         [phone]

« First ‹ Previous 1 2 3 4