Dick’s Sporting Goods hikes outlook after strong Q2; Foot Locker deal on track
Dick’s Sporting Goods reported better-than-expected second quarter earnings and sales results, and raised its full-year sales and earnings guidance.
The nation’s largest sporting goods retailer also said that its acquisition of Foot Locker is expected to close on Sept. 8 and that it has received shareholder approval and receipt of all the required regulatory clearances. (In May, Dick’s announced it would acquire Foot Locker for $2.4 billion, with plans to operate the company as a separate entity.)
Dick’s continued to expand its store footprint during the quarter, opening one new House of Sport location and four new Dick’s Field House stores. It has opened three House of Sport locations and eight Field House locations year-to-date.
Net income totaled $381 million, or $4.71 per share, for the quarter ended Aug. 2, compared with $362 million, or $4.37 per share, in the year-ago period. Excluding one-time items related to its acquisition of Foot Locker and other costs, adjusted earnings were $4.38 per share, ahead of analyst expectations of $4.32.
Net income totaled $381 million, or $4.71 per share, for the quarter ended Aug. 2, compared with $362 million, or $4.37 per share, in the year-ago period. Excluding one-time items related to its acquisition of Foot Locker and other costs, adjusted earnings were $4.38 per share, ahead of analyst expectations of $4.32.
Sales rose 5% to $3.65 billion, topping estimates of $3.63 billion. Comparable sales increased 5.0%, with growth in average ticket and transactions.
"We are very pleased with our strong Q2 results,” said CEO Lauren Hobart. “Our performance shows how well our long-term strategies are working, the strength and resilience of our operating model and the impact of our team's consistent execution. We are raising our full year 2025 outlook to reflect our strong Q2 results and the ongoing confidence we have in our business, grounded in our team's execution of our strategic pillars."
The company said it now exects comparable sales growth of 2.0% to 3.5%, up from its previous forecast of 1.0% to 3.0%. Earnings per share are now expected to range from $13.90 to $14.50, compared to its earlier projection of $13.80 to $14.40.
Dick’s board declared a quarterly dividend of $1.2125 per share, payable on September 26 to shareholders of record as of Sept. 12.
The company ended the quarter with a total of 889 locations under a variety of banners.
