Dick’s Sporting Goods, Inc. saw mid-single-digit comparable stores sales growth in the first quarter ended May 4 but hurt by a much higher effective tax rate for the quarter that cut into any bottom-line benefits. Still, the largest sporting goods retailer in the U.S. raised its outlook for comp sales and EPS for the full year.
Total net sales were $3.02 billion for the quarter, up 6.2 percent versus the prior-year Q1 period. Comps were up 5.3 percent in the quarter, cycling a 3.6 percent comp gain in the prior-year-Q1 period.
Income before taxes (EBT) was $342.4 million, or 11.3 percent of net sales in Q1, compared to $328.3 million, or 11.6 percent of sales, in the year-ago quarter.
The effective tax rate for the quarter was 19.6 percent this year, compared to 7.2 percent in Q1 last year, which cut into the net income line.
Net income was reported at $275 million, or $3.30 per diluted share, in the quarter, compared to $305 million, or $3.40 per diluted share, in the prior-year Q1 period.
Outlook
Dick’s Sporting Goods raised its full-year 2024 guidance for comparable sales growth to a range of 2.0 percent to 3.0 percent, up from the previous forecast of 1.0 percent to 2.0 percent growth.
Dicks now sees full-year 2024 earnings per diluted share guidance in a range of $13.35 to $13.75 per share, up from $12.85 to $13.25 previously.
See below for additional SGB Media coverage and details of the retailer’s first and second quarter.
EXEC: Dick’s SG Leadership Details Q1 Comps, House of Sport, 50K Stores, Q2 View
