Academy Sports posts lower sales as customers under pressure

(Source: Academy Sports + Outdoors/Facebook)

Academy Sports + Outdoors has reported a drop in sales for the first quarter, which management attributed to customers being more cautious about what they spend.

The company’s net sales for the 13 weeks ended May 4 fell 1.4 per cent year on year to $1.36 billion. Comparable sales slid 5.7 per cent on the back of a 7.3 per cent decline in the prior year.

Net income for the quarter was $76.5 million, down 18.6 per cent compared to the prior-year period.

The company opened two new stores during the first quarter, raising the store count to 284 across 18 states. It plans to open 15 to 17 locations throughout the fiscal year.

CEO Steve Lawrence said the results were as expected in the current economic environment where “customer remain under pressure”.

“We will navigate through the remainder of the year by continuing to lean into our position as the value leader in our space, while also inspiring customers to shop through introductions and expansions of new and innovative products,” Lawrence added.

For the full year, the retailer expects sales growth to range from -1.5 per cent to +3 per cent and comparable sales growth to range from -4 per cent to +1 per cent.

Founded in 1938, Academy offers products on key categories of outdoor, apparel, footwear and sports and recreation through both leading national brands and a portfolio of private label brands.

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