Upcoming AWS Coverage on Vitamin Shoppe Post-Earnings Results

LONDON, UK / ACCESSWIRE / April 6, 2017 / Active Wall St. announces its post-earnings coverage on The Finish Line, Inc. (NASDAQ: FINL). The Company posted its fourth quarter and fiscal 2017 financial results on March 24, 2017. The specialty retailer of athletic shoes, apparel, and accessories exceeded revenue expectations. Register with us now for your free membership at:

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One of The Finish Line's competitors within the Specialty Retail, Other space, Vitamin Shoppe, Inc. (NYSE: VSI), reported on March 01, 2017, its Q4 2016 Results. AWS will be initiating a research report on Vitamin Shoppe in the coming days.

Today, AWS is promoting its earnings coverage on FINL; touching on VSI. Get our free coverage by signing up to:

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Earnings Reviewed

For the thirteen weeks ended February 25, 2017, Finish Line's consolidated net sales were $557.5 million, declining marginally by 0.4% from the prior year's same period net sales of $559.85 million. The Company's revenue numbers exceeded analysts' consensus of $548.7 million. For the fifty-two weeks ended February 25, 2017, Finish Line's consolidated net sales were $1.84 billion, an increase of 2.5% over the prior year.

For Q4 FY17, Finish Line's comparable sales (comps) decreased 4.5%. The Company's Macy's sales increased 35%. For FY17, Finish Line's comps increased 0.3%, while Macy's sales surged approximately 30%.

During Q4 FY17, Finish Line's Footwear comps fell 1.6% with men's down low single digits, women's up low double digits, while kids down high single digits. In terms of men's and women's category performance, running comps were up double digits, lifestyle was up mid-single digits and basketball declined low double digits.

Finish Line's GAAP basis diluted earnings per share from continuing operations were $0.30 for Q4 FY17 compared to diluted earnings per share from continuing operations of $0.20 in Q4 FY16. The Company's non-GAAP diluted earnings per share from continuing operations, which primarily excludes the impact from store impairment charges, were $0.50. Finish Line's earnings numbers lagged behind market estimates of $0.70 per share. For FY17, Finish Line's GAAP diluted earnings per share from continuing operations were $0.85. The Company's non-GAAP diluted earnings per share from continuing operations, which primarily excludes the impact from store impairment charges and severance related charges, were $1.06.

Balance Sheet

As of February 25, 2017, Finish Line's consolidated merchandise inventories decreased 4.8% to $331.1 million compared to $348.0 million as of February 27, 2016. Merchandise inventories decreased high-single digits at Finish Line and increased high-single digits at Macy's.

Finish Line's capital expenditures were approximately $11 million in Q4 FY17 and $71 million for the year. The Company's capital expenditures were higher than previously forecasted due to new store design rollout as it remodeled more stores in FY17 than originally planned and incurred CapEx in the reported quarter related to FY18 remodels.

The Company repurchased 250,000 shares of common stock in Q4 FY17 totaling $4.4 million. For the full year, Finish Line repurchased 2.5 million shares totaling $52.8 million. The Company has 4.8 million shares remaining on its current Board authorized repurchase program.

As of February 25, 2017, Finish Line had no interest-bearing debt and $90.9 million in cash and cash equivalents compared to $79.5 million as of February 27, 2016.

Store Update

Finish Line ended the year with 573 stores, including six openings and 24 closings, 7 of which were closed during Q4 FY17. For FY18, the Company plans to close approximately 15 to 20 stores and remodel 45 to 60 as part of the planned store investment strategy.

Finish Line's year-end count for Macy's stores with branded shops was 374 due to the specific store closures Macy's announced earlier this calendar year. The Company completed the repositioning and expansion of 64 Finish Line shops at Macy's in FY17.

Outlook

For the fiscal year ending March 03, 2018, Finish Line expects comparable sales to increase low-single digits and earnings per share to be in the range of $1.12 to $1.23 which is an increase of approximately 6% to 16% compared with the $1.06 non-GAAP diluted earnings per share in FY16.

Stock Performance

At the close of trading session on Wednesday, April 05, 2017, The Finish Line's stock price slightly fell 1.82% to end the day at $14.03. A total volume of 1.79 million shares were exchanged during the session, which was above the 3-month average volume of 1.55 million shares. The Company's shares are trading at a PE ratio of 16.51 and have a dividend yield of 3.14%. The stock currently has a market cap of $564.71 million.

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SOURCE: Active Wall Street