Calgary-based sporting goods retailer the Forzani Group Ltd. announced Wednesday it plans to initiate a fourth-quarter dividend after reporting a record second-quarter profit — nearly tripling net earnings registered a year ago.
Subject to the board’s “discretion,” the annual dividend of 30 cents per share will be paid quarterly beginning in the fourth quarter of this fiscal year.
Bob Sartor, the company’s CEO, called it a “blowout quarter,” during a conference call with financial analysts.”It certainly was in our view a great quarter,” said Sartor. “Our businesses are performing well … Things are going quite well.”
The company reported net earnings for the second quarter of $5.4 million, or 16 cents per share, compared to the prior year’s second quarter of $1.9 million, or six cents per share.
With the implementation of the dividend, Sartor said there should not be any concerns about the company’s ability to invest in its business.
“We’re pleased with our start to the third quarter. Obviously we’re continuing to have the market momentum,” said Sartor, adding the company is encouraged by its back-to-school sales.
The company also is launching a different Sport Chek look which Sartor believes will be a “home run.
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