Zumiez Inc. (NASDAQ: ZUMZ) a leading specialty retailer of action sports related apparel, footwear, equipment and accessories, today reported results for the first quarter ended May 4, 2013.
Total net sales for the first quarter ended May 4, 2013 (13 weeks)
increased 14.3% to $148.5 million from $129.9 million in the first
quarter ended April 28, 2012 (13 weeks). Comparable store sales for the
thirteen weeks ended May 4, 2013 decreased (0.7%) compared to a
comparable store sales increase of 12.9% for the thirteen weeks ended
April 28, 2012. Net income in the first quarter of fiscal 2013 was $2.5
million, or $0.08 per diluted share, compared to net income of $4.5
million, or $0.14 per diluted share, in the first quarter of the prior
fiscal year. The results for fiscal 2013 include costs of approximately
$1.7 million, or $0.05 per diluted share, for charges associated with
the acquisition of Blue Tomato,
and the results for fiscal 2012 include approximately $0.4 million, or
$0.01 per diluted share, of Blue Tomato acquisition charges.
At May 4, 2013, the Company had cash and current marketable
securities of $97.6 million compared to cash and current marketable
securities of $171.2 million at April 28, 2012. The decrease in cash and
current marketable securities is a result of the acquisition of Blue
Tomato, which was funded by the Company’s cash and current marketable
securities balance, as well as capital expenditures and stock
repurchases, offset by cash generated through operations.
Rick Brooks, Chief Executive Officer of Zumiez Inc., stated, “Our
business improved throughout the first quarter driven by strong full
price selling during the combined March/April period. These results,
which were delivered in a more challenging operating environment than a
year ago, reflect the success of our continued execution on long-term
growth strategies and the strength of our highly differentiated and
diverse merchandise offering. We remain confident that our current
course can continue to yield increased top and bottom line long-term
Fiscal 2013 Second Quarter Outlook
The Company is introducing guidance for the three months ending
August 3, 2013. Net sales are projected to be in the range of $155 to
$158 million resulting in net income per diluted share of approximately
$0.12 to $0.14, which includes an estimated $1.6 million, or
approximately $0.04 per diluted share, for charges associated with the
acquisition of Blue Tomato. This guidance is based on anticipated
comparable store sales in the range of flat to an increase of 2% for the
second quarter of fiscal 2013.
The Company currently intends to open 58 new stores in fiscal 2013, including 9 stores in Canada and 6 stores in Europe.
A conference call
will be held today to discuss first quarter fiscal 2013 results and will
be webcast at 5:00 p.m. ET on http://ir.zumiez.com. Participants may
also dial (617)-597-5311 followed by the conference identification code
About Zumiez Inc.
Zumiez is a leading multi-channel specialty retailer of action sports
related apparel, footwear, equipment and accessories, focusing on
skateboarding, snowboarding, surfing, motocross and BMX for young men
and women. As of May 4, 2013 we operated 503 stores, 475 in the United
States, 22 in Canada, and 6 in Europe. We operate under the name Zumiez
and Blue Tomato. Additionally, we operate ecommerce web sites at
www.zumiez.com and www.blue-tomato.com.