Hibbett Sports, Inc (HIBB) has reported 21.81 percent fall in profit for the quarter ended Oct. 29, 2016. The company has earned $14.60 million, or $0.66 a share in the quarter, compared with $18.68 million, or $0.79 a share for the same period last year. Revenue during the quarter grew 3.81 percent to $237.01 million from $228.30 million in the previous year period. Gross margin for the quarter contracted 70 basis points over the previous year period to 35.37 percent. Total expenses were 90.22 percent of quarterly revenues, up from 86.92 percent for the same period last year. That has resulted in a contraction of 330 basis points in operating margin to 9.78 percent.
Operating income for the quarter was $23.17 million, compared with $29.86 million in the previous year period.
Mickey Newsome, Chairman of the Board, stated, “Karen’s extensive experience and track record in technology at HSN, Inc. (HSNi) and other retailers provide a unique knowledge base to our Board of Directors. We welcome her technology expertise and overall retail understanding and look forward to leveraging her experience as we implement our strategic plans.”
For financial year 2017, the company projects diluted earnings per share to be in the range of $2.82 to $2.88.
Working capital increases
Hibbett Sports, Inc has recorded an increase in the working capital over the last year. It stood at $243.08 million as at Oct. 29, 2016, up 9.42 percent or $20.94 million from $222.15 million on Oct. 31, 2015. Current ratio was at 3.27 as on Oct. 29, 2016, up from 2.71 on Oct. 31, 2015. Days inventory outstanding has decreased to 87 days for the quarter compared with 165 days for the previous year period. At the same time, days payable outstanding went down to 54 days for the quarter from 65 for the same period last year.
Debt moves up
Hibbett Sports, Inc Sports has witnessed an increase in total debt over the last one year. It stood at $0.54 million as on Oct. 29, 2016, up 16.70 percent or $0.08 million from $0.47 million on Oct. 31, 2015. Hibbett Sports has witnessed an increase in short-term debt over the last one year. It stood at $0.54 million as on Oct. 29, 2016, up 16.70 percent or $0.08 million from $0.47 million on Oct. 31, 2015. Total debt was 0.12 percent of total assets as on Oct. 29, 2016, compared with 0.10 percent on Oct. 31, 2015. Interest coverage ratio deteriorated to 386.22 for the quarter from 445.66 for the same period last year. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
