Ultimate Electronics Reports 94% Sales Increase in December 1994

Strategic Insights -

Ultimate Electronics Inc. announced a significant boost in sales for December 1994, with a staggering 94% increase from the prior year's sales of $16,504,000. The company's comparable store sales also saw a notable jump of 32% for the month, with the addition of a recently relocated store contributing to a 36% increase. This impressive growth is part of a broader trend, as sales for the 11 months ended December 1994 reached $145,381,000, an 88% increase from the previous year's sales of $77,236,000. The company's expansion plans are also in full swing, with the opening of a new 32,000 square foot store in Murray, Utah, and plans to open a fourth store in Layton, Utah in 1995.

Key Takeaways:

  • Ultimate Electronics reported a 94% increase in sales for December 1994, reaching $32,100,000.
  • Comparable store sales increased 32% for the month, with a 36% increase including a recently relocated store.
  • Sales for the 11 months ended December 1994 reached $145,381,000, representing an 88% increase from the prior year.
  • The company operates 14 stores, with 9 stores in Colorado under the trade name SoundTrack and the balance in Utah, Nevada, and New Mexico.
  • President Dave Workman attributed the growth to the opening of a new store in Utah, allowing for more efficient allocation of advertising costs.
  • The company plans to open a fourth store in Layton, Utah in 1995, serving the northern Wasatch Valley.

Statistics:

  • December 1994 sales: $32,100,000 (94% increase from prior year)
  • Comparable store sales (including relocated store): 36%
  • Comparable store sales: 32%
  • 11-month sales 1994: $145,381,000 (88% increase from prior year)
  • Comparable store sales (11 months): 32% (35% including relocated store)
  • Total stores operated by Ultimate Electronics: 14
  • Stores in Colorado: 9 (under trade name SoundTrack)
  • Stores in Utah, Nevada, and New Mexico: 5 (under trade name Ultimate Electronics)
  • Square footage of new store in Murray, Utah: 32,000

Sources:

  • Ultimate Electronics Inc. - January 4, 1995 Business Wire announcement
  • Ultimate Electronics Inc. - Alan E. Kessock, 303/420-1366 Fax: 303/467-5923