Dick’s Sporting Goods (DKS) fourth quarter 2022 earnings
- Dick’s Sporting Goods on Tuesday beat analysts’ expectations for its earnings and revenue in the fourth quarter.
- Same-store sales rose 5.3%, more than double analysts’ estimate of 2.1%, according to StreetAccount.
- The company released a full-year guidance for 2023 that was also above what analysts had expected.
A Dick’s Sporting Goods store stands on Staten Island on March 9, 2022 in New York City.
Spencer Platt | Getty Images
Dick’s Sporting Goods on Tuesday reported holiday quarter results that beat Wall Street expectations, citing a sales boost from the gift-giving season even with inflation-weary consumers.
Same-store sales increased by 5.3% during the fourth quarter, more than double analysts’ estimate of 2.1%, according to StreetAccount. This metric measures sales online and in stores open for 14 months or more.
The sports retailer’s performance has remained resilient in the face of an inflationary macro environment and industry-wide inventory struggles. It said on Tuesday that even amid faltering consumer demand across the sector, customers continued to buy.
Dick’s enters the next fiscal year with continued confidence. It expects full-year earnings per share of between $12.90 and $13.80, up from $10.78 per share for fiscal 2022. Analysts polled by Refinitiv had expected fiscal 2023 EPS of $12.
It expects same-store sales growth for the financial year to be flat to up 2%.
Here’s how the company did in the quarter ended Jan. 28 compared to what Wall Street predicted, based on a survey of analysts from Refinitiv:
- Earnings per share: $2.93, adjusted, vs. $2.88 cents expected
- Revenue: $3.60 billion vs. $3.45 billion expected
The company had net income of $236 million, down about 32% from the $346 million it reported a year earlier.
Dick’s hasn’t been entirely immune to industry-wide retail problems like inventory headwinds. Supply chain disruptions caused Dick’s to stockpile products to meet pandemic demand, only for those products to be out of season when they arrived.
But the company feels confident it has solved its supply chain dilemma as it heads into fiscal 2023.
“As planned, we continued to address targeted inventory overruns and as a result our inventory is in good shape as we enter 2023,” said CEO Lauren Hobart.
The company will host a conference call at 10 a.m. ET on Tuesday.
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