Hibbett Sporting  Inc. is an operator of full-line sporting goods stores in small to mid-sized markets, predominantly in the southeastern United States. Its stores offer a broad assortment of athletic equipment, footwear and apparel at competitive prices 

(RTTNews) - Wednesday, Hibbet Sports, Inc. (HIBB), a sports goods retailer, revealed fourth quarter financial results reporting an increase in profit on a 16.3% growth in revenues. The company also provided first quarter and full year guidance, however, expect to report first quarter earnings below current Street views.

The Birmingham, Alabama based company's fourth quarter net income rose 27.4% to $12.6 million from $9.9 million in the comparable quarter a year ago. Earnings, on a per share basis, were $0.39, up 34.5% from $0.29 per share in the prior year quarter. On average, eighteen analysts polled by First Call/Thomson Financial expected the company to earn $0.38 per share for the quarter.

Net sales for the quarter grew 25.1% to $151.2 million from $120.8 million in the corresponding quarter last year. Eleven analysts had a consensus average revenue estimate of $150.39 million for the quarter.

Gross profit for the quarter was $53.2 million, up from $40.7 million in the similar quarter a year ago. Operating income was $21.6 million, compared to $15.0 million in the last year quarter.

Comparable store sales for the quarter improved 5.9%. The company opened 25 new stores during the quarter, while closing 2 stores.

The company repurchased 93,000 shares of common stock during the quarter aggregating $2.7 million. The total shares repurchased under the program since August 2004 was 4.3 million shares for $97.3 million, with a balance of approximately $52.7 million remaining valid through end fiscal 2007.

Full Year Results

For the full year, net income was $38.1 million, an increase of 13.2%, compared to $33.6 million in the last year. On a per share basis, earnings rose 19.4% to $1.17 from $0.98 in the previous year. Eighteen analysts had an average earnings estimate of $1.16 per share for the year.

Net sales for the year were $512.1 million, up from $440.3 million in the year ago. Wall Street analysts expected the company to post revenues of $510.94 million for the year.

Comparable store sales for the year rose 3.8%.

For the year, the company added 74 new stores, while closing 10 stores. This indicates the company with 613 stores in 23 states. Hibbet propose to add about 85 to 90 new stores in 2008.

Outlook
Looking ahead, Hibbet projects first quarter earning to be in the range of $0.32 - $0.35 per share. Street analysts currently expect the company to report earnings in the range of $0.38 - $0.43, with an average estimate of $0.41 per share for the quarter.

The company expect comparable fiscal store sales decline of approximately 1% - 3%, while comparable store sales are anticipated to increase on a calendar basis of up to 2%.

For the full year, earnings are forecast in the range of $1.30 - $1.35 per share, while comparable store sales are projected to increase in the range of 2% - 4%. Street analysts expect earnings to be in the range of $1.32 - $1.45 per share, with an average estimate of $1.39 per share for the year.

Hibbet also provided six-month forecast believing the shifting of the first week in February from fiscal 2008 into fiscal 2007 would make a six-month comparison more meaningful. The six months 2008 earnings are expected to be in the range of $0.54 - $0.57 per share, compared to $0.47 per share in the first half of 2007. Comparable fiscal store sales is expected to increase up to 4%, while comparable calendar store sales increase is forecast in the low single digits.
HIBB closed Wednesday's regular trading at $29.42, up $0.16 or 0.55%, on a volume of 774,390 shares on the Nasdaq. In after-hours trading, the stock fell $2.22 or 7.55%, trading at $27.20.