Topps announced that domestic sports card sales increased 11 percent for the third quarter of the company’s 2007 fiscal year (ended Nov. 29), marking the fifth consecutive quarter the company has recorded an increase in its sports card sales.
Revenues were up for Topps’ entertainment and confectionery divisions. For the quarter, the company’s net sales increased 8.1 percent to $78.7 million. Sales for the entertainment division, which includes domestic sports card sales, were $47.2 million. Net income for the quarter was $3.7 million, compared to a net loss of $3.7 million for the same period a year ago.
Sports card sales for the first nine months of the fiscal year are now 40 percent higher than for the same period of fiscal 2006. While the company says the changes it campaigned for with baseball licensors to reduce product proliferation have helped its bottom line, it also says its own strategic initiatives have played a part in the strong year to date.
“Structural changes (in the category) tell only part of the story,” said Scott Silverstein, Topps’ chief operating officer. “A central focus within the company has been to ‘own the hobby.’ We set our sights on creating products that are compelling to the serious collector. Our entire high-end portfolio has been extremely well received by both our trade partners and consumers. There’s no question we’ve increased our penetration with this important segment of the category. And the allocated resources to expand the market and the results have been encouraging.”