NASDAQ$BGFV

Big 5 Sporting Goods Corporation · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

Generated net income and earnings per diluted share for the second quarter of fiscal year 2020.

Big 5 Sporting Goods Corporation reported a strong second quarter with a net income of $11.1 million and earnings per diluted share of $0.52. The company managed the business through disruptions caused by COVID-19, including store closures and shifts in consumer demand. Same store sales increased 31.9% for fiscal July.

  • Second quarter net income of $11.1 million and earnings per diluted share of $0.52.
  • Quarterly cash dividend reinstated.
  • Fiscal July same store sales increased 31.9%.
  • Revolver borrowings of zero, with cash position of approximately $38 million as of the end of fiscal July.

Headline financials

Total Revenue

$228M

Previous: $241M-5.4%
EPS (adj)

$0.52

Previous: -$0.03+1833.3%
Same store sales growth

-4.2%

Previous: 0.7%-700.0%
Gross profit margin

31.7%

Previous: 30.3%+4.6%
Capital Expenditures

-$3.44M

Previous: -$3.96M+12.9%
Free Cash Flow

$54.8M

Previous: $1.67M+3180.6%
Net Income

$11.1M

Previous: $28K+39671.4%
Operating Income

$16.4M

Previous: $938K+1644.1%
Gross Profit

$72.2M

Previous: $73.1M-1.3%
Cash & Equivalents

$16.7M

Previous: $6.59M+153.8%
Total Assets

$660M

Previous: $700M-5.6%
Stock-Based Comp

$406K

No prior period

Revenue & EPS history

Big 5 · Revenue · Quarterly

$228M

Q2 2020-5.4%vs Q2 2019
Beat estimate in 8 of 16 quarters(50%)
ActualEstimate

Forward guidance

The Company expects same store sales over the remainder of the fiscal 2020 third quarter to increase in the range of 5% to 15% compared to the comparable period during fiscal 2019. Assuming the Company achieves sales within that range over the remainder of the quarter, the Company would expect same store sales for the full third quarter of fiscal 2020 to increase in the range of 14% to 20% compared to the comparable period during fiscal 2019 and for earnings per diluted share for the quarter to be in the range of $1.00 to $1.30.

Tailwinds

  • Expense savings primarily from reductions in advertising.
  • Expense savings from store operating hours reduction.
  • Same store sales expected to increase.
  • Earnings per diluted share expected to increase.
  • Merchandise margins continue to trend positively.

Headwinds

  • Dramatic shifts in customer demand.
  • Uncertainties due to unprecedented circumstances.
  • Potential impact on consumer spending from the potential expiration of stimulus benefits.
  • Difficulty to accurately forecast the months ahead.
  • Wide sales and earnings guidance ranges.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 6 quarterly earnings reports

Historical avg

-2.4%

Avg return

Earnings day

-12.0%

Avg return

5 days after

-10.6%

Avg return

30 days after

30%

18 / 60 earnings

Positive

+43.4%

Q2 2020

Best reaction

-28.7%

Q4 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2025
Q3 2025
Q2 2025+0.0%+0.0%+0.7%
Q1 2025+4.4%+6.4%+38.4%
Q4 2024-12.4%-24.4%-27.4%
Q3 2024-14.4%-13.5%-13.5%
Q2 2024-25.5%-34.1%-33.3%
Q1 2024-6.8%-6.6%-4.9%
Q4 2023-10.5%-12.0%-34.1%
Q3 2023-22.6%
Q2 2023-15.3%
Q1 2023-8.0%
Q4 2022-4.3%
Q3 2022-7.0%
Q2 2022-5.7%
Q1 2022-1.0%
Q4 2021+2.1%
Q3 2021+24.0%
Q2 2021-6.0%
Q1 2021+30.1%
Q4 2020-7.6%
Q3 2020-5.9%
Q2 2020+43.4%
Q1 2020-0.5%
Q4 2019-28.7%
Q3 2019+34.2%
Q2 2019+29.9%
Q1 2019-9.2%
Q4 2018-8.7%
Q3 2018-17.6%
Q2 2018-8.8%
Q1 2018+7.1%
Q4 2017-12.8%
Q3 2017+2.8%
Q2 2017-6.0%
Q1 2017-4.2%
Q4 2016-4.0%
Q3 2016+8.4%
Q2 2016+20.0%
Q1 2016-23.5%
Q4 2015-13.1%
Q3 2015-21.9%
Q2 2015-28.4%
Q1 2015+9.4%
Q4 2014-5.9%
Q3 2014+14.2%
Q2 2014-14.4%
Q1 2014-20.3%
Q4 2013-7.4%
Q3 2013+17.9%
Q2 2013-17.6%
Q1 2013+12.2%
Q4 2012+3.8%
Q3 2012+34.6%
Q2 2012-3.3%
Q1 2012-4.0%
Q4 2010-7.9%
Q3 2010+5.2%
Q4 2011-4.4%
Q2 2010-4.4%
Q1 2011-16.1%
Q1 2010-3.5%

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