Dick’s Sporting Goods net sales rise 6 percent in 2013

REPORT_ In its annual report released today, Dick’s Sporting Goods reported net income for the year ended February 1, 2014 of 337.6 million dollars, or 2.69 dollars per diluted share, as compared to net income of 290.7 million dollars, or 2.31 dollars per diluted share, in fiscal 2012. Net sales

increased 6 percent to 6,213.2 million dollars in fiscal 2013 from 5,836.1 million dollars in fiscal 2012. The 1.9 percent consolidated same store sales increase consisted of a 2.4 percent increase at Dick's Sporting Goods and a 7.1 percent decrease at Golf Galaxy.

E-commerce

sales penetration was 7.9 percent of total sales during the current period compared to 5.3 percent of total sales during the 53 weeks ended February 2, 2013. The increase in consolidated same store sales was broad based, with larger increases in athletic apparel, athletic footwear and outdoor apparel and cold weather accessories, partially offset by declines in the golf, fitness and outdoor equipment categories. The same store sales increase at Dick's Sporting Goods was driven by an increase in sales per transaction of approximately 1.8 percent and an increase in transactions of approximately 0.6 percent.

Commenting on the 2013 results and plans for the years ahead, Edward W. Stack, Chairman and Chief Executive Officer of the company said, “Our continuous dedication has made Dick’s the largest and most profitable publicly held full-line sporting goods retailer in the nation with a powerful omni-channel platform that spans 558 Dick’s Sporting Goods stores and a rapidly growing e-commerce business. We are driven to deliver superior financial and operational results, including growing our sales to 10 billion dollars and increasing our operating margin to 10.5 percent by the end of 2017.”

During fiscal 2013, the company opened 40 new Dick's Sporting Goods stores, one new Golf Galaxy store, two new Field & Stream stores and one new True Runner store. Additionally, the company relocated one Dick's Sporting Goods store, repositioned one Golf Galaxy store and closed three underperforming Golf Galaxy stores. As of February 1, 2014, the Company operated 558 Dick's Sporting Goods stores in 46 states, 79 Golf Galaxy stores in 29 states, two Field & Stream stores in two states and three True Runner stores in three states.

Income from operations increased 13.1 million dollars to 536.8 million dollars in fiscal 2013 from 523.7 million dollars in fiscal 2012. Gross profit increased 6 percent to 1,944 million dollars in fiscal 2013 from 1,837.2 million dollars in fiscal 2012, but decreased as a percentage of net sales by 19 basis points compared to fiscal 2012.