West Marine today reported net revenues of $233.4 million for its second quarter ending July 3, an increase of $18 million, or 8.4 percent, from net revenues of $215.4 million a year ago.
Revenues increased $17.3 million due to a 9.4 percent increase in comparable store sales and $9.9 million from stores opened during 2009 and the first two quarters of 2010.
Stores closed during these same periods generated revenues of $8.8 million during the second quarter of last year. The majority of the closures occurred in connection with the company's real estate optimization program.
"We are very pleased with our second-quarter sales results, which again were ahead of our internal expectations. While our overall sales growth in the second quarter was very similar to that of the prior quarter, the mix of business was somewhat different," CEO Geoff Eisenberg said in a statement.
"During the second quarter, we experienced proportionately greater growth from our Port Supply wholesale business," he added. "In particular, we achieved gains in sales to wholesale customers through our store locations as part of our ongoing efforts to better serve this group, as well as leverage our store facilities."
Eisenberg said he believes sales benefited from unusually warm weather in the Northeast, adding that in the Southeast, "We have been starting to feel the effects of the oil spill in the Gulf of Mexico as boating activities are increasingly restricted."
He also said West Marine continues to benefit from the closure of Boater's World stores.
Full second quarter results will be released July 29, with a conference call scheduled for 10 a.m. (PDT) that same day.
West Marine stock closed Wednesday at $10.72 per share, after an opening of $10.49. Its 52-week high and low is $13.63 and $5.82.
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