Dick’s Sporting Goods (NYSE:DKS) on Tuesday reported quarterly earnings and revenue that topped analysts’ expectations and boosted its financial outlook for the year.
The sporting goods retailer said it now expects comparable store sales for 2022 to decline between 6% to 2%. It had previously forecast the figure to be down between 8% and 2%, after its sales of sporting and outdoor equipment surged during the pandemic.
For the full year, Dick’s now expects adjusted earnings per share to be between $10 and $12. That’s up from its previous forecast of $9.15 and $11.70.
In the second quarter, Earnings per share were $3.68, adjusted, vs. $3.58 expected, on revenue of $3.11 billion vs. $3.07 billion expected
For the three months ended July 30, net sales fell 5% from a year ago while comparable store sales declined 5.1%.
Dick’s noted that its net sales for the quarter were up significantly from the same period in 2019. Executive Chairman Ed Stack said results show the company wasn’t just a beneficiary of higher sales during the pandemic, but reflect the structural changes it made years ago.
In an interview, Stack noted the demand for Dick’s products in the “highs and lows of the economy” and cited the example of someone’s 10-year-old daughter needing bigger sneakers for soccer.
The company said that its inventory level was healthy and well-positioned for the back-to-school season.
DKS shares rocketed $4.52, or 4.1%, to $114.89.
