DICK’S Sporting Goods Reports Third Quarter Results

Third Quarter Operating Results

(dollars in millions, except per share data)

13 Weeks Ended

Change ⁽¹⁾

November 2, 2024

October 28, 2023

Net sales ⁽²⁾

$             3,057

$              3,042

$              15

0.5 %

Comparable sales ^{(2) (3)}

4.2 %

1.9 %

Income before income taxes (% of net sales) ⁽⁴⁾

9.7 %

8.8 %

89 bps

Non-GAAP income before income taxes (% of net sales) ^{(4) (5)}

9.7 %

10.6 %

Net income

$             27

13 %

Non-GAAP net income ⁽⁵⁾

$                228

$                 240

$            (12)

(5) %

Earnings per diluted share ⁽²⁾

$                2.75

$                2.39

$         0.36

15 %

Non-GAAP earnings per diluted share ^{(2) (5)}

$                2.75

$                2.85

$        (0.10)

(4) %

Year-to-Date Operating Results

(dollars in millions, except per share data)

39 Weeks Ended

Change ⁽¹⁾

November 2, 2024

October 28, 2023

Net sales ⁽²⁾

$             9,549

$              9,108

$           441

4.8 %

Comparable sales ^{(2) (3)}

4.7 %

2.5 %

Income before income taxes (% of net sales) ⁽⁴⁾

11.8 %

10.1 %

162 bps

Non-GAAP income before income taxes (% of net sales) ^{(4) (5)}

11.8 %

10.7 %

104 bps

Effective tax rate

22.9 %

18.7 %

414 bps

Net income

$                865

$                 750

$            115

15 %

Non-GAAP net income ⁽⁵⁾

$                865

$                 789

$             76

10 %

Earnings per diluted share ⁽²⁾

$             10.43

$                8.63

$          1.80

21 %

Non-GAAP earnings per diluted share ^{(2) (5)}

$             10.43

$                9.08

$          1.35

15 %

Balance Sheet

(in millions)

As of

November 2,
2024

As of

October 28,
2023

$

Change ⁽¹⁾

%

Change ⁽¹⁾

Cash and cash equivalents

$                 1,459

$                 1,406

$             52

4 %

Inventories, net

$                3,726

$                3,283

$          443

13 %

Total debt ⁽⁶⁾

$                 1,484

$                 1,483

$                1

— %

Capital Allocation

(in millions)

$

Change ⁽¹⁾

%

Change ⁽¹⁾

November 2,
2024

October 28,
2023

Share repurchases ⁽⁷⁾

$                   170

$                  649

$         (478)

(74) %

Dividends paid ⁽⁸⁾

$                   273

$                   271

$               3

1 %

Gross capital expenditures

$                  566

$                   410

$           156

38 %

$                   511

$                  369

$           142

39 %

^1.

Column may not recalculate due to rounding.

^2.

Due to the 53^rd week in fiscal 2023, there is a one-week shift in the fiscal 2024 calendar compared to the prior year, which unfavorably impacted net sales comparisons for the third quarter by approximately $105 million, or approximately $0.35 per diluted share, and favorably impacted the year-to-date period by approximately $35 million, or approximately $0.10 per diluted share. Comparable sales for fiscal 2024 are calculated by shifting the prior year period by one week to compare similar calendar weeks.

^3.

Beginning in fiscal 2024, we revised our method for calculating comparable sales to include GameChanger revenue. Prior year information has been revised to reflect this change for comparability purposes. See additional details as furnished in Exhibit 99.2 of the Company’s Current Report on Form 8-K, filed with the SEC on March 14, 2024.

^4.

Also referred to by management as earnings before income taxes (“EBT”).

^5.

In the fiscal 2024 period, there were no non-GAAP adjustments to reported EBT margin, net income or earnings per diluted share. The fiscal 2023 period reflects non-GAAP adjustments for charges from the Company’s business optimization, which was completed in 2023 to better align its talent, organization design and spending in support of its most critical strategies. For additional information, see GAAP to non-GAAP reconciliations included in tables later in the release under the heading “GAAP to Non-GAAP Reconciliations.”

^6.

The Company had no outstanding borrowings under its revolving credit facility in 2024 and 2023.

^7.

During the 39 weeks ended November 2, 2024, the Company repurchased 0.8 million shares of its common stock under its share repurchase program at an average price of $203.98 per share, for a total cost of $170.3 million. The Company has $609.3 million remaining under its authorization as of November 2, 2024.

^8.

The Company declared and paid quarterly dividends of $1.10 per share in fiscal 2024 and $1.00 per share in fiscal 2023.

Earnings per diluted share

●        $13.65 to 13.95

•         Based on approximately 83 million diluted shares outstanding

•         Based on an effective tax rate of approximately 23%

Net sales

●       $13.2 billion to 13.3 billion

Comparable sales

●       Growth of 3.6% to 4.2%

Capital expenditures

●        Approximately $900 million on a gross basis

●        Approximately $800 million on a net basis

39 Weeks Ended November 2, 2024

39 Weeks Ended October 28, 2023

DICK’S
Sporting
Goods

Specialty
 Concept Stores
⁽¹⁾

Total ⁽²⁾

DICK’S
Sporting
Goods

Specialty
Concept Stores
⁽¹⁾

Total ⁽²⁾

Beginning stores

724

131

855

728

125

853

Q1 New stores

1

3

4

—

—

—

Q2 New stores

2

5

7

—

1

1

Q3 New stores

2

1

3

1

9

Stores acquired

—

—

—

—

12

12

Closed stores

2

3

5

4

3

7

Ending stores

727 ⁽³⁾

137

864

725

144

869

Relocated stores

8

3

11

16

2

18

 Square Footage:

 (in millions)

DICK’S Sporting Goods

Specialty Concept
Stores ⁽¹⁾

Total ⁽²⁾⁽⁴⁾

Q1 2023

39.2

3.4

42.6

Q2 2023

39.0

3.4

42.4

Q3 2023

39.2

3.6

42.7

Q4 2023

39.3

3.4

42.7

Q1 2024

39.4

3.5

42.9

Q2 2024

39.6

3.7

43.2

Q3 2024

39.9

3.7

43.5

⁽¹⁾

Includes our Golf Galaxy, Public Lands, Going Going Gone! and other specialty concept stores. As of November 2, 2024, we operated 109 Golf Galaxy stores, 8 Public Lands stores, and 20 Going Going Gone! stores. As of October 28, 2023, we operated 104 Golf Galaxy stores, 7 Public Lands stores, 17 Going Going Gone! stores and other specialty concept stores. In some markets, we operate DICK’S Sporting Goods stores adjacent to our specialty concept stores on the same property with a pass-through for our athletes. We refer to this format as a “combo store” and include combo store openings within both the DICK’S Sporting Goods and specialty concept store reconciliations, as applicable. As of November 2, 2024, the Company operated 19 combo stores.

⁽²⁾

Excludes temporary value chain locations, of which the Company operated 30 and 41 as of November 2, 2024 and October 28, 2023, respectively.

⁽³⁾

As of November 2, 2024, includes 17 DICK’S House of Sport stores, with five new openings during fiscal 2024, three of which were relocated and one of which was remodeled from prior store locations. As of November 2, 2024, includes 22 DICK’S Field House stores, with eleven new openings during fiscal 2024, four of which were relocated and three of which were remodeled from prior store locations.

⁽⁴⁾

Column may not recalculate due to rounding.