West Marine sales drop by 10 per cent for Q1
By IBI Magazine
West Marine today reported sales of US$113.3 million for its first quarter ended March 29, 2008. That represents a 10 per cent decline, or US$12.5 million, compared to the same period a year ago. Same-store sales also declined by 9.4 per cent for the quarter. West Marine reported sales of US$97.1 million in its Stores segment, an 8.9 per cent decline in net sales compared to same period last year. The sales decrease primarily was due to a US$9.4 million decrease in comparable store sales. Its Port Supply (wholesale) segment sales through the distribution centres were US$9.1 million for the first quarter, a decrease of US$1.3 million, or 12.9 per cent, compared to the same period last year. Net sales in the Direct Sales segment for the first quarter of 2008 were US$7.1 million, a decrease of US$1.7 million, or 19.2 per cent, compared to same period last year. "Sales results during the first quarter were a bit less than we had expected," said Geoff Eisenberg, West Marine CEO, in a statement. "With significant softness in the boating equipment market, we had planned for a material reduction in comparable store sales, and nothing that occurred in the first quarter gave any indication that sales would rebound in the short term." Eisenberg said he was "certainly anxious" about sales as the company enters the prime boating season in late April and early May.
(10 April 2008)
|
