Following the dismal comparable-store sales (comps) for
February, the Wash.-based retailer of sports-related teen
), reported a 2.1% increase in comps for the 5-weeks ended Apr 6,
2013. This compares to a comps increase of 14.1% reported for the
5-weeks ended Mar 31, 2012. Net sales for March surged 19.7% to
$61.0 million from $50.9 million reported in the year-ago period.
Last month, Zumiez reported a comps decline of 8.9% for the
4-weeks ended Mar 2, 2013 compared with an increase of 14.2% in
the 4-weeks ended Feb 25, 2012. Net sales for the period surged
10.6% to $44.5 million from $40.2 million reported in the
Further, this Zacks Rank #3 (Hold) company reported solid
fourth-quarter fiscal 2012 adjusted earnings of 75 cents per
share on Mar 15, surpassing the Zacks Consensus Estimate of 73
cents. Bottom-line results benefited from the successful
execution of the growth strategies outlined at the onset of
fiscal 2012 as well as contributions from the Blue Tomato
Net sales increased 22.1% to $224.4 million from $183.9 million
in the comparable year-ago quarter. Quarterly sales were above
the Zacks Consensus Estimate of $222.0 million. However, comps
dipped 1.0% mainly due to a decline in comparable store
transactions offset by an increase in dollars per unit.
Further, the company anticipates first-quarter fiscal 2013
earnings in the range of 4 cents - 7 cents per share. The current
Zacks Consensus Estimate is pegged at 9 cents per share, above
the company's guidance range.
Management anticipates first-quarter revenues to be in the range
of $141-$144 million, while comps are likely to decline in the
We believe that the company's well-balanced store expansion and
e-Commerce strategies will drive its top line further. Treading
on the footsteps of its competitors such as
Abercrombie & Fitch Company
Foot Locker Inc.
), Zumiez is targeting to augment its store network to 600-700
stores in the long run.
The company plans to expand its store base by opening 60 new
stores in fiscal 2013, comprising up to 10 stores in Canada and 6
in Europe. As of Apr 6, 2013, the company operated 502 stores,
including 473 in the United States, 21 in Canada and 8 in Europe.
Dealing in action sports-related apparel, footwear, equipment and
accessories, Zumiez, which competes primarily with
Hot Topic Inc.
), targets young men and women in the 12-24 year age group who
seek popular lifestyle brands centered on extreme sports
ABERCROMBIE (ANF): Free Stock Analysis Report
FOOT LOCKER INC (FL): Free Stock Analysis
HOT TOPIC INC (HOTT): Free Stock Analysis
ZUMIEZ INC (ZUMZ): Free Stock Analysis Report
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