Dick's Sporting Goods posts strong growth in sales and earnings
Net sales for the first quarter at Dick’s Sporting Goods, were 2.92 billion dollars, an increase of 119 percent compared to the first quarter of 2020, or a 52 percent increase compared to the first quarter of 2019.
The company said that the increase compared to last year’s quarter was driven by a 115 percent increase in consolidated same store sales, which included an increase in ecommerce sales of 14 percent.
“We are very pleased to deliver another exceptionally strong quarter, achieving record first quarter sales and our highest-ever quarterly earnings, both significantly exceeding our expectations,” said Lauren Hobart, the company’s president and chief executive officer.
Review of Dick’s Sporting Goods’ first quarter results
Ecommerce sales increased 110 percent in last year’s first quarter and ecommerce penetration has grown from 13 percent of total net sales in the first quarter of 2019 to 20 percent for the first quarter of 2021.
The company reported consolidated net income of 361.8 million dollars or 3.41 dollars per diluted share compared to a consolidated net loss of 143.4 million dollars or 1.71 dollars per diluted share in the first quarter of 2020. The company had reported consolidated net income for the first quarter ended May 4, 2019 of 57.5 million dollars or 61 cents per diluted share.
On a non-GAAP basis, the company reported consolidated net income for the quarter of 367.2 million dollars or 3.79 dollars per diluted share. For the quarter ended May 4, 2019, non-GAAP consolidated net income was 58.4 million dollars or 62 cents per diluted share.
Dicks Sporting Goods projects sales growth for FY21
The company expects to report net sales in the range of 10,515 million dollars to 10, 806 million dollars, an increase of 22 percent against 2019 and 11 percent against 2020. Consolidated same store sales are anticipated to grow in the range of 8 to 11 percent.
The company expects earnings per dilute share in the range of 7.05 to 7.68 dollars, an increase of 120 percent against 2019 and 29 percent against 2020, while earnings per share on non-GAAP basis are anticipated to range between 8 dollars to 8.70 dollars, an increase of 126 percent against 2019 and 36 percent against 2020.
The company expects to open six new Dick’s Sporting Goods stores and eight specialty concept stores in 2021, including the conversion of two former Field & Stream stores into Public Lands stores. The company also expects to relocate 11 Dick’s Sporting Goods stores in 2021.