Hibbett Reports Increased Net Sales but Declining Comparable Sales

By Tamara Parker • Friday, March 15 10:14 • Permanent Link

Hibbett, Inc. has reported its financial results for the fourth quarter and fiscal year ending February 3, 2024. The company's net sales for the 14-week period ended February 3, 2024, increased by 1.8% to $466.6 million compared to the prior year period. However, comparable sales decreased by 6.4% during the same period, with brick and mortar sales declining by 9.2% and e-commerce sales increasing by 6.9%. Gross margin was 34.5% of net sales for the 14-week period, compared to 35.2% for the same period last year.

The company's full-year net sales for fiscal 2024 increased by 1.2% to $1.73 billion compared to the previous year, with comparable sales decreasing by 3.1%. The gross margin for the full year was 33.8% of net sales, a decline from 35.2% for the previous year.

Net income for the 14-week period ended February 3, 2024, was $30.9 million, or $2.55 per diluted share, compared to $38.4 million, or $2.91 per diluted share for the same period last year. For the full year, net income was $103.2 million, or $8.17 per diluted share, compared to $128.1 million, or $9.62 per diluted share for the previous year.

Looking ahead to fiscal 2025, Hibbett, Inc. has provided guidance for several key metrics. The company anticipates flat to up approximately 2.0% in total net sales compared to fiscal 2024, with comparable sales expected to be flat to down in the low-single digit range for the year. Gross margin is expected to be in the range of 34.2% to 34.5% of net sales, while SG&A expenses are estimated to be 23.9% to 24.2% of net sales.

Hibbett, Inc. also provided an outlook for diluted earnings per share, anticipating a range of $8.00 to $8.75 for fiscal 2025, with an estimated full-year tax rate of between 22.9% and 23.2%. The company plans to focus its capital expenditures on store development initiatives, with anticipated spending in the range of $65 to $75 million.

Following these announcements, the company's shares moved -8.5%, and are now trading at a price of $66.81. For the full picture, make sure to review Hibbett's 8-K report.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.