The 10-second takeaway
For the quarter ended April 28 (Q1), Hibbett Sports beat expectations on revenue and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue increased and GAAP earnings per share improved significantly.
Margins improved across the board.
Hibbett Sports reported revenue of $232.9 million. The 16 analysts polled by S&P Capital IQ looked for net sales of $226.6 million on the same basis. GAAP reported sales were 14% higher than the prior-year quarter's $203.7 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.98. The 16 earnings estimates compiled by S&P Capital IQ averaged $0.92 per share. GAAP EPS of $0.98 for Q1 were 29% higher than the prior-year quarter's $0.76 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 38.0%, 80 basis points better than the prior-year quarter. Operating margin was 18.2%, 140 basis points better than the prior-year quarter. Net margin was 11.3%, 80 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $167.8 million. On the bottom line, the average EPS estimate is $0.27.
Next year's average estimate for revenue is $815.0 million. The average EPS estimate is $2.61.
The stock has a two-star rating (out of five) at Motley Fool CAPS. Among 43 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 38 give Hibbett Sports a green thumbs-up, and five give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Hibbett Sports is hold, with an average price target of $55.08.
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Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.