Sales Down, Profits Up for Sport Supply Group

Sports equipment merchant Sport Supply Group saw its third-quarter revenue slip 3.1%, to $63.7 million, down from $65.8 million in the same period last year. For the period ended March 31, net income increased nearly 4%, to $3.5 million.

“I am extremely pleased with these results for the quarter and year-to-date periods given the extraordinary operating environment that currently exists,” CEO Adam Blumenfeld said in a release. “We produced operating margins of greater than 10% for the quarter by continuing our focus on the cost structure of the business, and maintaining sales and margins within a relative range of acceptability through a number of well-executed programs on our catalog and team dealer platforms.”

Blumenfeld acknowledged that Dallas-based Sport Supply is in for a rough ride: “Despite our higher profits to date, we have no illusions as to the challenges that may lie ahead. School and city budgets may face significant challenges in the coming months. We see a ‘strong get stronger, weak get weaker’ scenario unfolding and think that Sport Supply Group is well positioned to capitalize on such a scenario over the longer term.”