The Finish Line, Inc. reported results for the 13-week period ended June 1, 2013.
For the thirteen weeks ended June 1, 2013:
-Consolidated net sales were $351.1 million, an increase of 10% over the prior year period. -Finish Line comparable store sales increased 2.4%. -On a GAAP basis, diluted earnings per share were $0.10. -Non-GAAP diluted earnings per share, which excludes the impact of start up costs related to the launch of Macy’s business, were $0.20.
“We are pleased with the start to Fiscal 2014 as improving trends in our Finish Line running business combined with continued strength in basketball and disciplined expense management drove our results,” said Chairman and Chief Executive Officer, Glenn Lyon.
“Strategically, the quarter was marked by significant progress on our key growth initiatives including the well-received launch of our Macy’s business in stores and online and the expansion of the Running Specialty Group footprint with the acquisition of some very productive doors. We have clear vision and sound strategies in place to transform our Company into a premier, multi-divisional, omni-channel retailer and drive increased value for our shareholders,” Lyon added.
Balance Sheet
As of June 1, 2013, consolidated merchandise inventories increased 23.7% to $292.6 million compared to $236.5 million as of June 2, 2012. The increase resulted primarily from the start-up of Macy’s business. For Finish Line, merchandise inventories increased 2.6%.
The company repurchased 366,000 shares of its common stock in the first quarter, totaling $6.8 million. The company has 4.6 million shares remaining on its current Board authorized repurchase plan.
As of June 1, 2013, the company had no interest-bearing debt and $195.9 million in cash and cash equivalents, compared to $262.0 million a year ago.
Outlook
For the fiscal year ending March 1, 2014, the Company still expects Finish Line comparable store sales to be up slightly and earnings per share to increase mid-single digit percent over fiscal year 2013 Non-GAAP diluted earnings per share of $1.47.
