**Q2 Sales Decline for Hibbett Sports, H1 Sales Increase Marginally**.
**Key Highlights:**.
* Q2 sales decreased by 0.4% to $336.9 million, falling short of analyst estimates..
* Comparable store sales declined by 1.5%..
* Gross margin expanded by 10 basis points to 33.5%..
* Net income rose by 1.7% to $33.8 million..
**Earnings Results:**.
Hibbett Sports reported a marginal decline in its second-quarter sales, missing analysts’ expectations. The company’s comparable store sales, which measure sales at stores open for at least a year, also declined by 1.5%..
Despite the sales dip, Hibbett Sports’ gross margin expanded by 10 basis points to 33.5%. This was primarily driven by a better merchandise mix and improved inventory management..
The company’s net income increased by 1.7% to $33.8 million, or $1.40 per share. This was slightly higher than analysts’ estimates of $1.39 per share..
**First Half Performance:**.
For the first half of fiscal 2023, Hibbett Sports’ sales inched forward by 2.1% to $729.7 million. Comparable store sales increased by 0.4%..
The company’s gross margin remained stable at 33.5%. Net income declined by 0.5% to $62.8 million, or $2.60 per share..
**Analyst Commentary:**.
Analysts attributed Hibbett Sports’ Q2 sales decline to ongoing inflationary pressures and supply chain disruptions. They noted that the company’s focus on higher-margin products and cost-cutting measures helped mitigate the impact..
**Outlook:**.
Hibbett Sports remains cautiously optimistic about the remainder of the year. The company expects comparable store sales to increase in the mid-single digits for fiscal 2023..
The company also plans to continue investing in its digital platform and expanding its product offerings. Hibbett Sports is confident in its ability to navigate the current challenges and deliver long-term growth..
**Source:**.
https://us.fashionnetwork.com/news/Hibbett-q2-sales-down-on-comps-drop-h1-sales-inch-forward,1547274.html.
