U.S. Markets closed

UPDATE: Hibbett Sports shares soar 19% premarket as earnings blow past estimates

Ciara Linnane

Hibbett Sports Inc. shares soared 19% in premarket trade Friday, after the sporting goods retailer blew past estimates for the fourth quarter and offered upbeat guidance for fiscal 2020. The company said it had net income of $6.6 million, or 36 cents a share, for the quarter to Feb. 2, down from $9.7 million, or 51 cents a share in the year-earlier period. Adjusted per-share earnings came to 57 cents, well ahead of the 39 cents FactSet consensus. Sales rose to $306.0 million from $266.7 million, also ahead of the $280 million FactSet consensus. Same-store sales rose 3.8%, compared with a FactSet consensus that they would be flat. The company said it is focused on improving its store base and building out its e-commerce strategy and will close about 95 Hibbett stores in fiscal 2020, while opening 10 to 15 new Hibbett and City Gear stores. It expects to book a store closure charge of 15 cents to 20 cents a share. The retailer is expecting fiscal 2020 adjusted EPS of $1.80 to $2.00, which is above the current FactSet consensus of $1.74. Separately, the company said its chief executive Jeff Rosenthal is planning to retire as soon as the company has completed a search and named a successor. Shares have fallen 20% in the last 12 months, while the S&P 500 has gained 8%.