hibb-20240504

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)


☒			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended May 4, 2024


☐			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from __________________________ to __________________________

COMMISSION FILE NUMBER: 000-20969

HIBBETT, INC.

(Exact name of registrant as specified in its charter)


Delaware						20-8159608
(State or other jurisdiction of incorporation or organization)						(I.R.S. Employer Identification No.)

2700 Milan Court, Birmingham, Alabama 35211

(Address of principal executive offices, including zip code)

205-942-4292

(Registrant’s telephone number, including area code)

NONE

(Former name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, $0.01 Par Value Per Share	HIBB	Nasdaq Global Select Market

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Yes

☒

☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).

Yes

☒

☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer

☐

Accelerated filer

☒

Non-accelerated filer

☐

Smaller reporting company

☐

Emerging growth company

☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Yes

☐

☒

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.

As of June 6, 2024, 11,948,003 shares of common stock, par value $0.01 per share, were outstanding.

HIBBETT, INC.

INDEX


		Page
PART I. FINANCIAL INFORMATION

Item 1.	Financial Statements.

	Unaudited Condensed Consolidated Balance Sheets	2

	Unaudited Condensed Consolidated Statements of Operations	3

	Unaudited Condensed Consolidated Statements of Cash Flows	4

	Unaudited Condensed Consolidated Statements of Stockholders’ Investment	5

	Notes to Unaudited Condensed Consolidated Financial Statements	6

Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations.	13

Item 3.	Quantitative and Qualitative Disclosures About Market Risk.	20

Item 4.	Controls and Procedures.	21

PART II. OTHER INFORMATION

Item 1.	Legal Proceedings.	21

Item 1A.	Risk Factors.	21

Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds.	24

Item 5.	Other Information.	24

Item 6.	Exhibits.	25

	Signature	26


ASSETS	May 4, 2024		February 3, 2024		April 29, 2023
Current assets:
Cash and cash equivalents	$	28,681	$	21,230	$	26,926
Receivables, net	16,970		16,743		12,582
Inventories, net	371,259		344,294		437,957
Other current assets	19,213		24,448		13,662
Total current assets	436,123		406,715		491,127

Property and equipment, net	182,391		183,949		175,285
Operating right-of-use assets	277,122		280,755		262,999
Finance right-of-use assets, net	1,696		1,837		1,913

Tradename intangible asset	23,500		23,500		23,500
Deferred income taxes, net	2,874		3,024		2,744
Other assets, net	11,625		9,442		7,777
Total assets	$	935,331	$	909,222	$	965,345

LIABILITIES AND STOCKHOLDERS' INVESTMENT
Current liabilities:
Accounts payable	$	128,069	$	96,431	$	131,437
Operating lease obligations	71,666		71,448		73,142
Credit facility	7,545		45,296		103,577
Finance lease obligations	534		538		929
Accrued payroll expenses	14,656		8,488		7,707
Other accrued expenses	14,452		14,013		14,183
Total current liabilities	236,922		236,214		330,975
Operating lease obligations	242,231		245,649		228,645
Finance lease obligations	1,287		1,423		1,116

Other liabilities	7,638		6,911		5,594
Total liabilities	488,078		490,197		566,330

Stockholders' investment:
Preferred stock, $0.01 par value, no shares issued	—		—		—
Common stock - 40,384; 40,170; and 40,120 shares issued, respectively	404		402		401
Paid-in capital	224,616		221,668		216,309
Retained earnings	1,257,805		1,228,257		1,170,180
Treasury stock, at cost - 28,436; 28,376; and 27,373 shares repurchased, respectively	(1,035,572)		(1,031,302)		(987,875)
Total stockholders' investment	447,253		419,025		399,015
Total liabilities and stockholders' investment	$	935,331	$	909,222	$	965,345


	13-Weeks Ended
	May 4, 2024				April 29, 2023
			% to Sales				% to Sales
Net sales	$	447,163			$	455,497
Cost of goods sold	286,957		64.2	%	301,877		66.3	%
Gross margin	160,206		35.8	%	153,620		33.7	%
Store operating, selling and administrative expenses	105,927		23.7	%	96,014		21.1	%

Depreciation and amortization	12,973		2.9	%	11,693		2.6	%
Operating income	41,306		9.2	%	45,913		10.1	%
Interest expense, net	231		0.1	%	1,327		0.3	%
Income before provision for income taxes	41,075		9.2	%	44,586		9.8	%
Provision for income taxes	8,575		1.9	%	8,711		1.9	%
Net income	$	32,500	7.3	%	$	35,875	7.9	%

Basic earnings per share	$	2.73			$	2.80
Diluted earnings per share	$	2.67			$	2.74

Weighted-average shares:
Basic	11,909				12,791
Diluted	12,153				13,111


13-Weeks Ended May 4, 2024
	Common Stock							Treasury Stock
	Shares	Amount		Paid-In Capital		Retained Earnings		Shares	Amount		Total Stockholders' Investment
Balance - February 3, 2024	40,170	$	402	$	221,668	$	1,228,257	28,376	$	(1,031,302)	$	419,025
Net income	—	—		—		32,500		—	—		32,500
Issuance of shares through the Company's equity plans	213	2		467		—		—	—		469
Purchase of shares under the stock repurchase program	—	—		—		—		—	—		—
Settlement of net share equity awards	—	—		—		—		59	(4,270)		(4,270)
Excise tax on stock repurchases	—	—		—		—		—	—		—
Cash dividends declared, $0.25 per common share	—	—		—		(2,953)		—	—		(2,953)
Stock-based compensation	—	—		2,481		—		—	—		2,481
Balance - May 4, 2024	40,384	$	404	$	224,616	$	1,257,805	28,436	$	(1,035,572)	$	447,253


13-Weeks Ended April 29, 2023
	Common Stock							Treasury Stock
	Shares	Amount		Paid-In Capital		Retained Earnings		Shares	Amount		Total Stockholders' Investment
Balance - January 28, 2023	39,917	$	399	$	213,182	$	1,137,481	27,167	$	(974,831)	$	376,231
Net income	—	—		—		35,875		—	—		35,875
Issuance of shares through the Company's equity plans	203	2		1,122		—		—	—		1,124

Purchase of shares under the stock repurchase program	—	—		—		—		160	(10,199)		(10,199)
Settlement of net share equity awards	—	—		—		—		47	(2,833)		(2,833)
Excise tax on stock repurchases	—	—		—		—		—	(12)		(12)
Cash dividends declared, $0.25 per common share	—	—		—		(3,176)		—	—		(3,176)
Stock-based compensation	—	—		2,005		—		—	—		2,005
Balance - April 29, 2023	40,120	$	401	$	216,309	$	1,170,180	27,373	$	(987,875)	$	399,015


	13-Weeks Ended
	May 4, 2024		April 29, 2023
Operating lease cost	$	21,278	$	20,038
Finance lease cost:
Amortization of assets	141		255
Interest on lease liabilities	21		27
Variable lease cost	5,017		5,068
	$	26,457	$	25,388


	May 4, 2024	February 3, 2024	April 29, 2023
	13-Weeks Ended		53-Weeks Ended	13-Weeks Ended
Number of days borrowings incurred	56		359	91
Average borrowings	$13.3		$85.8	$96.7
Maximum borrowings	$52.0		$134.1	$124.9
Average interest rate	6.61%		6.35%	5.81%


		Location
Brand	Average Square Footage	Strip Center(1)	Mall	Total
Hibbett	5,800	789	171	960
City Gear	5,200	156	37	193
Sports Additions(2)	2,900	3	13	16


Period	Total Number of Shares Purchased	Average Price Paid per Share(1)		Total Number of Shares Purchased as Part of Publicly Announced Programs	Approximate Dollar Value of Shares That May Yet be Purchased Under the Programs (in thousands)(1)
February 4, 2024 - March 2, 2024	0	$	0.00	0	$	276,851
March 3, 2024 - April 6, 2024	25,911	$	72.21	0	$	276,851
April 7, 2024 - May 4, 2024	33,579	$	71.43	0	$	276,851
Total	59,490	$	71.77	0	$	276,851


Exhibit No.		Description
2.1		Agreement and Plan of Merger, dated as of April 23, 2024, by and among Hibbett, Inc., Genesis Holdings, Inc., Steps Merger Sub, Inc. and, solely for purposes of certain provisions specified therein, JD Sports Fashion plc; incorporated herein by reference to Exhibit 2.1 of the Registrant's Current Report on Form 8-K filed with the Securities and Exchange Commission on April 25, 2024.

		Certificate of Incorporation and By-Laws
3.1		Certificate of Incorporation of the Registrant; incorporated herein by reference to Exhibit 3.1 of the Registrant’s Current Report on Form 8-K filed with the Securities and Exchange Commission on May 31, 2012.
3.2		Certificate of Amendment to the Certificate of Incorporation of the Registrant; incorporated herein by reference to Exhibit 3.1 of the Registrant’s Current Report on Form 8-K filed with the Securities and Exchange Commission on June 24, 2021.
3.3		Certificate of Amendment to the Certificate of Incorporation of the Registrant; incorporated herein by reference to Exhibit 3.1 of the Registrant's Current Report on Form 8-K with the Securities and Exchange Commission on May 27, 2022.
3.4		Bylaws of the Registrant, as amended; incorporated herein by reference to Exhibit 3.2 of the Registrant's Current Report on Form 8-K filed with the Securities and Exchange Commission on June 24, 2021.




		Certifications
31.1	*	Rule 13a-14(a)/15d-14(a) Certification of Principal Executive Officer
31.2	*	Rule 13a-14(a)/15d-14(a) Certification of Principal Financial Officer
32.1	*	Certification of Chief Executive Officer and Chief Financial Officer Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

		Interactive Data Files
101.INS	*	Inline XBRL Instance Document
101.SCH	*	Inline XBRL Taxonomy Extension Schema Document
101.CAL	*	Inline XBRL Taxonomy Extension Calculation Linkbase Document
101.DEF	*	Inline XBRL Taxonomy Extension Definition Linkbase Document
101.LAB	*	Inline XBRL Taxonomy Extension Label Linkbase Document
101.PRE	*	Inline XBRL Taxonomy Extension Presentation Linkbase Document
104	*	The cover page for the Registrant's Quarterly Report on Form 10-Q for the quarter ended May 4, 2024, has been formatted in Inline XBRL.
	*	Filed Within


		HIBBETT, INC.

Date:	June 11, 2024	By:	/s/ Robert J. Volke
			Robert J. Volke
			Senior Vice President and Chief Financial Officer
			(Principal Financial and Accounting Officer)


	May 4, 2024		February 3, 2024		April 29, 2023
Land	$	7,289	$	7,289	$	7,277
Buildings	22,792		22,760		22,552
Equipment	142,530		141,989		140,265
Furniture and fixtures	71,602		72,460		68,836
Leasehold improvements	210,660		205,568		179,980
Construction in progress	5,881		6,089		4,151
Total property and equipment	460,754		456,155		423,061
Less: accumulated depreciation and amortization	278,363		272,206		247,776
Total property and equipment, net	$	182,391	$	183,949	$	175,285


	13-Weeks Ended
	May 4, 2024			April 29, 2023
Statements of Operations
Net sales (decrease) increase	(1.8)		%	7.4		%
Comparable store sales (decrease) increase	(5.8)		%	4.1		%








Balance Sheets
Ending cash and cash equivalents (in thousands)	$	28,681		$	26,926
Average inventory per store	$	317,587		$	383,164

Store Information
Beginning of period	1,169			1,133
New stores opened	6			12

Stores closed	(6)			(2)
End of period	1,169			1,143

Estimated square footage at end of period (in thousands)	6,637			6,485

Share Repurchase Information(1)
Shares purchased under our Repurchase Program	0			159,592
Cost (in thousands)	$	0		$	10,199
Settlement of net share equity awards	59,490			47,177
Cost (in thousands)	$	4,270		$	2,833

Dividend Information
Number of declarations	1			1
Cash paid (in thousands)	$	2,949		$	3,173
Total paid per share	$	0.25		$	0.25


	13-Weeks Ended
	May 4, 2024		April 29, 2023
Net cash provided by (used in) operating activities	$	60,638	$	(26,797)
Net cash used in investing activities	(8,546)		(14,231)
Net cash (used in) provided by financing activities	(44,641)		51,939
Net increase in cash and cash equivalents	$	7,451	$	10,911

SEC Form 10-Q filed by Hibbett Inc.