Financial reports: Penney, Sportsman’s Guide

Top-rate bottom-line performance for Penney

Third-quarter catalog sales at general merchandiser J.C. Penney Co. (NYSE: JCP) were down 21%–but so what? The big news is that net income for the quarter shot up 297%, to $123 million for the three months ended Oct. 26. For the third quarter of fiscal 2001, net income had been $31 million.

Total company sales for the quarter increased 2%, to $7.9 billion from $7.7 billion last year. Combined revenue from the catalog, Website, and department stores fell 1%, to $4.3 billion from $4.4 billion. (Penney also owns the Eckerd drugstore chain.) But comparable store sales rose 4%. And though catalog sales were down, principally from reduced circulation and page counts, Plano, TX-based Penney noted in a statement that the division was more profitable than it had been.

Sportsman’s Guide posts 3Q profit Increased Web-related sales and lower expenses led outdoor clothing and gear The Sportsman’s Guide(Nasdaq: SGDE) to third-quarter profitability. For the three months ended Sept. 30, the South St. Paul, MN-based cataloger posted net earnings of $269,000. For the third quarter of 2001, Sportsman’s Guide had lost $124,000. Sales inched up to $36.9 million from $36.5 million last year.

Internet-related sales as a percentage of total sales reached 30% for the second consecutive quarter, compared to about 21% for the same period of 2001. Quarterly selling, general, and administrative expenses were $11.0 million, compared with $11.9 million last year.