Fitness financials: Dick’s swings out of the red in Q4, plus Collective Brands, Hibbett Sports, Amer Sports, Foot Locker
Dick's Sporting Goods said it returned to a profit in the fourth quarter, Collective Brands reported a smaller loss for its fourth quarter, Hibbett Sports said its chairman and CEO would step down, Amer Sports appointed a new chairman and vice chairman, and Foot Locker said it's enacting a new strategic plan to grow its business,
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Dick’s swings out of the red in Q4
With an 11-percent rise in sales, Dick’s Sporting Goods (NYSE: DKS) said it returned to a profit in the fourth quarter. It also anticipates double-digit earnings growth in 2010.
Earnings for the quarter ended Jan. 30 were $67.4 million, or $0.56 per share, compared to a loss of $105.6 million, or $0.94 per share, a year earlier when it absorbed hefty acquisition and integration costs.
Sales grew to $1.34 billion from $1.21 billion as same-store sales rose 2.5 percent. The company attributed the overall sales increase to new store openings and the addition of online sales.
For the full year, Dick’s earned $135.4 million, or $1.15 per share, compared with a loss of $39.9 million, or $0.36 per share, in the prior year. Annual sales improved to $4.41 billion from $4.13 billion.
For 2010, Dick’s expects to earn about $1.32 to $1.35 per share, with same-store sales approximately 2 percent to 3 percent. It anticipates a first-quarter profit between about $0.12 to $0.13 with sales at stores open at least a year up about 2 percent to 3 percent.
Q4 loss shrinks at Saucony parent
Collective Brands (NYSE: PSS), parent of Saucony and Hind, reported a smaller loss for its fourth quarter as its margins improved.
For the quarter that ended Jan. 30, the company posted a loss of $10.9 million, or $0.17 per share, versus a loss of $144 million, or $2.28 per share, in the same quarter a year earlier.
Excluding several items — including litigation costs, charges to reflect the falling value of its assets and the expiration of a license agreement — the company lost $11.6 million, or $0.18 per share. A year earlier, it lost $38.1 million, or $0.60 per share, on that basis.
The company’s revenue grew just under 1 percent to $741.7 million.
For the full year, the company reported a profit of $82.7 million, or $1.28 per share, up from a loss of $68.7 million, or $1.09 per share, in the prior year.
Excluding one-time items, it earned $84.5 million, or $1.31 per share, for the year. In the prior year, it earned $62.2 million, or $0.99 per share, on that basis.
Sales fell nearly 4 percent to $3.44 billion for the year.
Hibbett CEO to step down
Hibbett Sports said Chairman and CEO Mickey Newsome will leave the CEO’s job and be replaced by the company’s chief operating officer on March 15.
The new CEO, Jeffry O. Rosenthal, is also the company’s president. He was vice president of merchandising and marketing before his current jobs.
Newsome will become executive chairman on Monday.
Amer Sports appoints chair, committee members
Amer Sports, parent of Precor, appointed a new chairman and vice chairman, as well as various committee members, following its annual general meeting.
The company’s board of directors unanimously appointed Anssi Vanjoki as chairman and Ilkka Brotherus as vice chairman.
The board appointed from among its members the following members to the compensation committee: Pirjo Väliaho, Vanjoki, Bruno Sälzer and Christian Fischer. The nomination committee includes Brotherus, Vanjoki and Martin Burkhalter, and the audit committee is made up of Hannu Ryöppönen, Brotherus and Burkhalter.
Foot Locker sets new strategy, financial plan
Foot Locker (NYSE: FL) said it is enacting a new strategic plan, including a series of operating initiatives to grow its business, and long-term financial objectives.
The company said it plans to reach annual sales of $6 billion and net income margin of 5 percent over the next five years. It will also work to appeal to more consumers, grow internationally and pursue acquisitions, it added.
The company, which operates about 3,500 stores in 21 countries, moved to a profit in its most recent quarter as it worked to cut costs and closed underperforming stores. Other recent changes include consolidating its management for its three brands — Foot Locker, Lady Foot Locker and Kids Foot Locker — and working to keep merchandise fresh.
–Compiled by Wendy Geister
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