Big 5 Sporting Goods(BGFV)2024-10-30 02:05Financial Data and Key Metrics Changes - Net sales for Q3 2024 were $220.6 million, down from $239.9 million in the prior year, with same-store sales decreasing by 7.5% [5][12] - Gross profit for Q3 2024 was $64.2 million, compared to $79.6 million in Q3 2023, resulting in a gross profit margin of 29.1% versus 33.2% in the prior year [12] - Net loss for Q3 2024 was $29.9 million or $1.36 per basic share, compared to a net income of $1.9 million or $0.08 per diluted share in Q3 2023 [13][14] - Adjusted EBITDA was negative $5.1 million for Q3 2024, compared to positive EBITDA of $7.4 million in the same quarter last year [14] Business Line Data and Key Metrics Changes - Apparel and footwear categories were down approximately 9%, while hard goods decreased by approximately 6% [6] - Average ticket remained stable with a low single-digit decline, while transaction count was down mid-single digits [6] Market Data and Key Metrics Changes - Inventory levels at the end of Q3 2024 were down 8.7% year-over-year, reflecting efforts to align inventories with sales performance [7][15] - Same-store sales for the first nine months of 2024 decreased by 10.2% compared to the same period last year [14] Company Strategy and Development Direction - The company is adjusting its promotional strategy ahead of Thanksgiving to stimulate sales during a traditionally slow period [8] - Plans to open 3 new stores and close 11 stores as part of optimizing the store base, resulting in 422 stores by year-end [16] Management's Comments on Operating Environment and Future Outlook - Management noted ongoing economic headwinds affecting consumer spending and anticipates same-store sales in Q4 2024 to range from positive low single digits to negative low single digits [7][18] - The company expects to benefit from more normalized weather conditions compared to the previous year, which had significantly impacted winter-related product sales [8][18] Other Important Information - Selling and administrative expenses decreased by $1.6 million year-over-year, but as a percentage of net sales, it increased to 34% in Q3 2024 from 31.9% in Q3 2023 [12][13] - The balance sheet remains healthy with no borrowings under the credit facility and a cash balance of $4 million [17] Summary of Q&A Session - The Q&A session concluded without specific questions or answers being documented in the provided content [21]