EXPANSION HELPS 4TH-QUARTER NET RISE TO $3 MILLION AT SUNGLASS HUT
CORAL GABLES, Fla. — With store expansion racing ahead, Sunglass Hut International reported net income jumped to $3 million, or 14 cents a share, in the fourth quarter ended Jan. 28 from $421,000, or 2 cents, a year ago.
Sales rose 38.6 percent to $62.7 million from $45.2 million. Comparable store sales were up 11.6 percent.
On a pro forma basis, excluding the effect of certain expenses that did not continue beyond fiscal 1993, the year-ago net income for the quarter was $1.2 million, or 6 cents a share.
The sunglass retailer went public in June 1993 and had a secondary offering in November of that year.
In the year, earnings climbed to $15.6 million, or 72 cents a share, from $2 million, before a special charge a year ago. After a $1.6 million charge for the retirement of debt, year-ago earnings were reduced to $406,000. After preferred dividends, there was a loss of $66,000 applicable to common stock. Pro forma net income for the prior year came to $9 million, or 42 cents a share.
Sales gained 35.9 percent to $244 million from $179.5 million. Comparable store sales rose 12.8 percent.
Jack B. Chadsey, president and chief executive officer, said that during the year the company opened 226 stores, a record number.
Sunglass Hut now operates 914 stores in the U.S., Canada, Europe, the Caribbean and Mexico and also has 78 joint venture stores in Australia.
Chadsey also made note of the fact that during the past year the firm “continued to fortify our infrastrucutre to support our aggressive new business and expansion opportunities.”
— Fairchild News Service