subject: Golfsmith International Holdings, Inc. (NASDAQ: GOLF) $70M (MarketCap) Big Preperations for Daddy-Day [print this page] Golfsmith International Holdings, IncGolfsmith International Holdings, Inc. (NASDAQ: GOLF) $70M (MarketCap) Big Preperations for Daddy-Day
Here's an interesting idea: find a company who sells a variety of products associated with an ever-increasingly popular game that can be enjoyed by both genders at virtually any age; an industry that has influenced pop culture and whose star champions' are household names; with a decorated history that proves industry and growth is only sustaining and gaining rather than perishing. I'm talking about the game of golf and the companies who supply the necessary goods and equipment that players and fans are consuming today more than ever.Goldsmith is one of those companies, operating as a specialty retailer of golf and tennis equipment, apparel, footwear, and accessories through 74 store locations in 19 states, also offering catalog and internet sales channels. The storefront also provides club repair services, as well as tennis equipment, and tennis racquet maintenance and repair services. In addition, Golfsmith develops and promotes proprietary merchandise, including clubs, club components, apparel, golf bags and covers, pull and push carts, shoes, furnishings, accessories, training aids, and gifts. Can dad ever really get enough golf?
Goldsmith doesn't seem to think so. The company is preparing to sell in excess of 2M golf balls, 150K golf clubs of all makes and models, 30K hats, and 60K golf t-shirts during the weeks leading up to Father's Day on June 20th, 2010. So how much could Golfsmith bring in this Father's Day?
Net revenues for the second quarter 2009 (this time last year) were $115M, down from $130M in 2008.
Net revenues for the first quarter of 2009 were $69M; net revenues were $68M for the first quarter of 2010.
Net revenues rocketed about 67% between the first and the second quarter of 2009. On July 28th- 30th of 2009, after second quarter earnings were released, Golfsmith's stock priced jumped 27%, and began a flat-to-steady trend upwards to today's closing price of $4.40 per share.
