West Marine reports 8 per cent increase in Q2 sales
By IBI Magazine
West Marine today reported net sales of US$233.4m for its second quarter ended July 3, 2010, an 8.4 per cent increase over the same period a year ago. Same-store sales increased by 9.4 per cent, or US$17.3m, and stores opened in 2009 generated an additional US$8.8m. West Marine CEO Geoff Eisenberg said the results were ahead of "internal" expectations. "While our overall sales growth in the second quarter was very similar to that of the prior quarter, the mix of business was somewhat different," he said in a statement. "During the second quarter, we experienced proportionately greater growth from our Port Supply wholesale business." Eisenberg said that unusually warm weather in the US northeast prompted boaters to prepare their boats early. The company also noticed an impact by the Gulf oil spill in the southeastern US. "During the second quarter, we experienced a decrease in sales of products typically used by recreational boaters and fishermen," he said. "However, this was almost completely offset by sales of products which appear to be connected with fighting the oil spill." In specific categories, sales in its Store segment rose US$18.2m, or 9.2 per cent, to US$212.7m, while Port Supply increased sales by US$0.4m, or 4.3 per cent, to US$9.3m. Net sales of its Direct Segment fell by US$0.4m, or 2.9 per cent, to US$11.5m. West Marine will release its full second-quarter results on July 29, 2010.
(15 July 2010)
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