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Strategies & Market Trends : Rande Is . . . HOME -- Ignore unavailable to you. Want to Upgrade?

To: Kimberly Lee who wrote (1763)	1/8/1999 12:19:00 PM
From: Bucky Katt	Read Replies (3) \| Respond to of 57584

Check this, from OCT.> Sport Supply Group, Inc. (NYSE: GYM - news) today reported that its Board of Directors has authorized the repurchase of up to one million shares of its common stock in open market and/or privately negotiated transactions. The repurchase is subject to price and availability of shares, working capital availability and any alternative capital spending programs of the Company, including new acquisitions. This is the Company's second recent repurchase program, with approximately 850,000 shares having been repurchased based on an earlier authorization in May 1997. ''In the past two years, new management at Sport Supply Group has completed a restructuring that has increased net earnings by approximately 700% and earnings before income tax (EBIT) by 800% on revenue growth of 25%,'' stated Geoffrey Jurick, CEO and Chairman of Sport Supply Group. ''The Company has divested unprofitable operations, reduced debt from 45% to 6% of total capital and increased cash flow per share from $0.36 to approximately $1.00.'' ''Based on the Company's dominant position in a highly specialized, relatively noncyclical sporting equipment niche business, along with highly targeted marketing programs in new growth markets, we believe that our objective to grow a minimum of 15% per year is very realistic. Meanwhile, in the last two years our stock price has remained flat and is trading below ten times trailing earnings. We think this repurchase investment represents a solid long-term value and we have chosen to continue buying.'' ____________________________________________________________________ EPS Fourth quarter ended 12 mos. ended 10/2/98 9/26/97 10/2/98 9/26/97 (unaudited) (unaudited) (audited) (unaudited) Revenue $25.3 $23.3 $97.3 $86.0 Operating Income 2.9 2.0 8.3 3.8 Net profit 2.0 1.5 5.8 2.1 Earnings per share Basic 0.26 0.18 0.72 0.26 Diluted 0.25 0.18 0.70 0.26 During fiscal year ended October 2, 1998, revenues increased 13% to $97.3 million compared to last year's $86.0 million. Before nonrecurring expenses (in 1998 and 1999), operating income increased 122% to $8.3 million compared to $3.8 million for the twelve months ended September 26, 1997. Net earnings, before non-recurring expenses, increased 176% to $5.8 million or $0.70 per diluted share from last year's $2.1 million or $0.26 per diluted share. Non-recurring expenses include the charges incurred in the 1998 fourth fiscal quarter relating to the retirement of Peter Blumenfeld, from his position as director, president and chief operating officer, amounting to $1.2 million, and the first fiscal quarter 1997 retirement of the company's chairman and chief executive officer. Actual operating profit after the non- recurring expenses increased 190% to $7.2 million. Net income, after the nonrecurring items, rose 280% to $5.0 million, or $0.60 per diluted share. ______________________________________________________________________ Buying dips also...When this I-net news sinks in, this one will move.. selling seems to be coming from those that bottom fished in the 6-7 level... New basketball season won't hurt either... GYM seems a sleeper at this point, which I like...