Hibbett, Inc., a retailer specializing in sports apparel and footwear, faced a decline in net sales during the second quarter of this year. The company reported sales of $419.3 million, which marks a decrease of 5.1% compared to the same period last year. This decrease can be attributed to the company’s decision to keep its stores open while many competitors temporarily closed due to the Covid-19 pandemic.

In the second quarter, Hibbett experienced a 3.8% decline in brick-and-mortar comparable sales, and a significant drop of 20.4% in e-commerce sales. E-commerce sales accounted for 13.1% of the company’s total net sales, down from 15.7% in the previous year’s second quarter. Overall, Hibbett’s comparable sales dropped by 6.4% compared to the prior year.

Despite this decline, it is important to note that Hibbett had a strong performance in the second quarter of the previous year due to pent-up consumer demand and stimulus money. Comparing the same period two years ago, the company saw a substantial increase of 66.1% in sales. Comparable sales also rose by 72.8%, with brick-and-mortar sales increasing by 64.5%, and e-commerce sales surging by an impressive 153.3%.

Hibbett attributes its strong performance over the past two years to its strategy of offering highly sought-after merchandise, exceptional customer service, and a top-notch omni-channel platform. In the second quarter of 2021, the company reported a net income of $46.7 million, or $2.86 per diluted share, compared to $40.4 million, or $2.38 per share, in the previous year.

For the year-to-date, Hibbett’s sales reached $926.1 million, representing a significant increase of 30.2% compared to the same period last year. Comparable sales also rose by 30.3%, with brick-and-mortar sales increasing by 39.9%, while e-commerce sales saw a slight decrease of 11.4%. Net income for the six-month period was $131.5 million, or $7.90 per diluted share, up from $25.1 million, or $1.50 per diluted share, in the first half of the previous year.

Based on its performance in the second quarter, Hibbett has raised its financial outlook for the full fiscal year. The company now expects its comparable sales to experience positive mid-teens growth compared to the previous year, and predicts diluted earnings per share to fall within the range of $11.00 to $11.50.

Useful links:

Hibbett Official Website
Hibbett Store Locator