A Dick’s Sporting Goods retail retailer is seen on May 15, 2025 in Austin, Texas.
Brandon Bell | Getty Images
Dick’s Sporting Goods on Tuesday reported quarterly earnings that missed Wall Street expectations and lowered its outlook for Foot Locker amid what it referred to as a “challenging athletic footwear and apparel marketplace.”
Dick’s inventory fell roughly 15% in premarket buying and selling Tuesday.
The firm mentioned Dick’s shops noticed 4.9% comparable gross sales progress for the quarter pushed by “broad-based growth” throughout classes, together with sturdy outcomes from the World Cup.
However, Dick’s mentioned Foot Locker noticed comparable gross sales decline by 3.6%, main the corporate to revise its outlook to for the Foot Locker enterprise to a variety of flat to down 2%. It nonetheless expects the Dick’s enterprise to develop between 2.5% and 4%, however the firm lowered its total web gross sales outlook for the 12 months from a variety of between $22.1 billion and $22.4 billion to a variety of between $21.9 billion and $22.2 billion.
The firm lowered its consolidated working earnings outlook from a earlier vary of between $1.69 billion and $1.81 billion to a variety of $1.45 billion to $1.55 billion.
Here’s how Dick’s carried out in its second fiscal quarter in contrast with what Wall Street was anticipating, in keeping with a survey of analysts by LSEG:
- Earnings per share: $3.53 adjusted vs. $3.76 anticipated
- Revenue: $5.59 billion vs. $5.65 billion anticipated
For the interval ended Aug. 1, Dick’s reported web earnings of $315 million, or $3.50 per share, down from $381 million, or $4.71 per share, the 12 months prior. Adjusting for one-time gadgets, together with its Foot Locker acquisition, Dick’s reported $3.53 per share.
Sales rose to $5.59 billion from $3.65 billion within the year-ago interval.
“While we are taking a more cautious view of the balance of the year, we remain highly confident in the strength of the DICK’S Business and our long-term opportunity at Foot Locker,” CEO Lauren Hobart mentioned in an announcement.
The firm additionally mentioned it obtained $59 million in tariff refunds through the quarter and $2.1 million in associated curiosity earnings.
The earnings come as Dick’s is within the midst of implementing a turnaround for Foot Locker, which has previously weighed on the corporate’s backside line. Dick’s has sought to refine Foot Locker’s technique to return to progress, particularly at a time when sportswear is booming.
Dick’s acquired Foot Locker for $2.4 billion in 2025, saying on the time that it deliberate to make use of the deal to develop its worldwide presence and higher place itself in opposition to its rivals.