Sport Supply Group Inc (RBI, Financial) filed Quarterly Report for the period ended 2010-03-31.
Sport Supply Group Inc has a market cap of $167.3 million; its shares were traded at around $13.4 with a P/E ratio of 15.1 and P/S ratio of 0.7. The dividend yield of Sport Supply Group Inc stocks is 0.7%.RBI is in the portfolios of Jim Simons of Renaissance Technologies LLC.
We intend to navigate the present general economic downturn by remaining focused on improving areas within our control and on achieving further progress on four primary goals: maintaining a strong balance sheet; making strategic acquisitions to increase our market penetration; generating positive earnings growth before interest, taxes, depreciation and amortization (“EBITDA”); and positioning our business to capitalize on an economic recovery when it occurs. Consistent with these goals, in the past nine months, among other things, we: (i) paid off the remaining $28.9 million of Notes, reducing our outstanding debt by $25.9 million and reducing our effective borrowing rate from 5.75% to 1.5% as of March 31, 2010; (ii) fully integrated four team dealer operations into our operations as well as acquired an additional catalog operation during April 2010; and (iii) implemented additional marketing programs designed to address our institutional customers needs and affordability concerns. Our key business strategies and plans for the remainder of fiscal 2010 will continue to reflect these priorities.
Our inventory adjustments for lower of cost or market provisions totaled $0.2 million and $0.6 million for the three and nine months ended March 31, 2010 and $0.2 million and $0.6 million for the three and nine months ended March 31, 2009, respectively. Inventory adjustments are due to the identification of additional excess and obsolete inventories during the nine months ended March 31, 2010. We evaluate our inventory value each quarter based on the criteria discussed above.
At March 31, 2010, our total allowance for doubtful accounts increased $0.1 million to $1.6 million as compared to $1.5 million at June 30, 2009, but decreased to approximately 4.1% of our March 31, 2010 accounts receivable as compared to 4.3% of our June 30, 2009 accounts receivable. This decrease as a percent of accounts receivable is primarily attributable to the normal cyclical growth in our current accounts receivable balance at the end of our third fiscal quarter. We evaluate our allowance for doubtful accounts each quarter based on the criteria discussed above.
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Sport Supply Group Inc has a market cap of $167.3 million; its shares were traded at around $13.4 with a P/E ratio of 15.1 and P/S ratio of 0.7. The dividend yield of Sport Supply Group Inc stocks is 0.7%.RBI is in the portfolios of Jim Simons of Renaissance Technologies LLC.
Highlight of Business Operations:
Consummation of the Merger is subject to various customary closing conditions, including adoption of the Merger Agreement by the holders of a majority of the outstanding shares of our common stock. The transaction is not subject to any financing condition; however, Parent has the unilateral option to terminate the Merger Agreement by paying us a termination fee of either $6 million or $10 million (which is further described below). To support its obligations under the Merger Agreement, Parent has obtained equity and debt financing commitments for the transactions contemplated by the Merger Agreement.We intend to navigate the present general economic downturn by remaining focused on improving areas within our control and on achieving further progress on four primary goals: maintaining a strong balance sheet; making strategic acquisitions to increase our market penetration; generating positive earnings growth before interest, taxes, depreciation and amortization (“EBITDA”); and positioning our business to capitalize on an economic recovery when it occurs. Consistent with these goals, in the past nine months, among other things, we: (i) paid off the remaining $28.9 million of Notes, reducing our outstanding debt by $25.9 million and reducing our effective borrowing rate from 5.75% to 1.5% as of March 31, 2010; (ii) fully integrated four team dealer operations into our operations as well as acquired an additional catalog operation during April 2010; and (iii) implemented additional marketing programs designed to address our institutional customers needs and affordability concerns. Our key business strategies and plans for the remainder of fiscal 2010 will continue to reflect these priorities.
Our inventory adjustments for lower of cost or market provisions totaled $0.2 million and $0.6 million for the three and nine months ended March 31, 2010 and $0.2 million and $0.6 million for the three and nine months ended March 31, 2009, respectively. Inventory adjustments are due to the identification of additional excess and obsolete inventories during the nine months ended March 31, 2010. We evaluate our inventory value each quarter based on the criteria discussed above.
At March 31, 2010, our total allowance for doubtful accounts increased $0.1 million to $1.6 million as compared to $1.5 million at June 30, 2009, but decreased to approximately 4.1% of our March 31, 2010 accounts receivable as compared to 4.3% of our June 30, 2009 accounts receivable. This decrease as a percent of accounts receivable is primarily attributable to the normal cyclical growth in our current accounts receivable balance at the end of our third fiscal quarter. We evaluate our allowance for doubtful accounts each quarter based on the criteria discussed above.
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