The H-Zone store at Ward Centre has begun to turn a profit, but the University of Hawaii said it has not made a decision whether to keep it open past June 2017.

The store, which features UH logo apparel and merchandise and is operated by the athletic department, opened in 2014 amid projections of a $500,000 annual profit.

But in February athletic department officials told the Board of Regents the location was incurring monthly losses totaling $40,000 and some regents asked the athletic department to consider terminating the venture.

Changes since then have improved the bottom line to a $21,000 profit, the regents Committee on Independent Audit was told Thursday.

Regent Warren Higaki applauded the athletic department on the turnaround saying, “that’s awesome.”

Athletic director David Matlin told regents “We will continue to evaluate” the store’s future with an eye toward June when the current lease agreement expires.

Matlin said, “We’ll continue to monitor it and then make a business decision, as appropriate. You have to look at what your opportunities are at other places in the long run and whether it makes sense to sign a long-term agreement.”

UH operates two H-Zone locations on campus, at the Stan Sheriff Center and Les Murakami Stadium, and has an online presence.