Hibbett sales jump 15% in third quarter
Birmingham, Alabama-based sportswear and fashion retailer Hibbett, Inc. achieved net sales of $381.7 million in the third quarter ended October 30, 2021, representing growth of 15.2% compared to $331.4 million in the same period in the previous year.
Comparable sales for the period increased 13.0% year over year, reflecting an 11.6% rise in brick-and-mortar comparable sales and a 22.3% increase in e-commerce sales. E-commerce represented 14.0% of the company’s total quarterly sales, compared to 13.2% in the prior-year period.
Highlighting that it believes that sales in the third quarter ended October 31, 2020 were positively impacted by a range of factors related to the Covid-19 pandemic, including market disruption, improved new customer retention and the availability of in-demand product, Hibbett also provided a comparison with its top line in the third quarter ended November 2, 2019.
Compared to this period two years ago, when sales totaled $275.5 million, the retailer’s most recent Q3 revenues represented a 38.6% increase.
Hibbett’s quarterly net income was $25.2 million, or $1.68 per diluted share, up from the $25.3 million, or $1.47 per diluted share, reported by the company in the same period in the previous year.
“Our business continued to experience positive momentum during the third quarter,” said Hibbett president and CEO Mike Longo in a release. “Our focused strategy of providing a compelling assortment of highly coveted merchandise coupled with superior customer service and a best-in-class omni-channel platform led to increased traffic, a higher average ticket, and a greater number of items purchased per transaction.”
Year to date, the retailer’s net sales increased 25.4% to $1.31 billion, compared to $1.04 billion in the same nine-month period in the previous year. Comparable sales rose 24.1% year over year, reflecting a rise of 29.6% in brick-and-mortar comparable sales and a 2.9% decline in e-commerce sales.
Net income for the period totaled $156.7 million, or $9.74 per diluted share, increasing from $50.3 million, or $2.98 per diluted share, a year ago.
In line with its positive third-quarter results, Hibbett also revealed that it has revised up its full-year guidance. The company expects its comparable sales to be in the positive high single-digits in the fourth quarter, implying full-year percentage growth in the positive high teens.
Diluted earnings per share are predicted to be between $1.85 and $2.05 in Q4, resulting in annual earnings per share in the range of $11.70 to $11.90.
“Despite ongoing challenges in the supply chain, our inventory position improved significantly during the third quarter. We are very well-positioned for the holiday selling season,” explained Longo.
Having opened seven new stores and closed one in the third quarter, Hibbett currently operates 1,086 locations across the U.S., under its Hibbett and City Gear banners.
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