CDs dropped precipitously during the recent fiscal fiscal quarter at Hastings Entertainment, though a portfolio of other goods more than covered the loss.
For the three-month period ending July 31st, profits moved to $1.9 million, or $0.17 per diluted share, up from just $0.02 million, or $0.02 per diluted share, according to an earnings call Monday. For the six month period, profits reached $4.4 million, more than double year-ago earnings of $2.1 million.
A beneficial state tax decision buoyed the result, though a diversified product mix also played a critical role. On a comparable-store basis, music-related sales dipped 14.2 percent for the quarter, though DVDs jumped 10.8 percent, games bumped 14 percent, and consumer electronics increased by 32.3 percent. “Our merchandising and buying teams have produced greater margin rates for the second consecutive quarter,” explained Hastings chief executive John Marmaduke.
Story by news analyst Alexandra Osorio.