Hibbett Inc.’s stock HIBB fell 5% premarket Friday, after the sporting goods retailer posted weaker-than-expected fiscal first-quarter earnings and cut its full-year guidance, as its customer continues to grapple with inflation. “Our consumers are facing a number of headwinds that range from inflation to concerns over outright job loss. ,” Chief Executive Mike Longo said in a statement. “Of note, the total amount of the average tax refund was unfavorable to last year by approximately 10%. We believe this disproportionately impacted our consumer and impacted our sales in the important first quarter of the year.” The company also had high levels of inventory that required an elevated level of promotional activity, he said. Birmingham, Alabama-based Hibbett had net income of $35.9 million, or $2.74 a share, for the quarter to April 29, down from $39.3 million, or $2.89 a share, in the year-earlier period. Sales rose 7.4% to $455.5 million from $424.1 million. The FactSet consensus was for EPS of $3.00 and sales of $460.0 million. Same-store sales rose 4.1%, also below the FactSet consensus of a rise of 4.8%. The company is now expecting full-year EPS to range from $7.00 to $7.55, compared with prior guidance of $9.50 to $10.00. It expects sales to be flat to up 2%, versus prior guidance of up in mid-single digits. The stock has fallen 35% in the year to date, while the S&P 500 SPX has gained 8%. Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.
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