Omnichannel drives Q4 for Dick's Sporting Goods
- Q4 earnings reach US$155.5m
- Total sales grow 10.9%
- Same store sales up 3.4%
US retailer Dick's Sporting Goods said the continued growth of its omni-channel network helped grow earnings and sales in the fourth quarter.
The company reported consolidated net income for the three months to the end of January, of US$155.5m, from $138.6m a year earlier.
Net sales increased 10.9% to around $2.2bn, while consolidated same store sales were up 3.4%, an improvement on company guidance of a 1% to 3% increase.
"We are very pleased with the record results we delivered in the fourth quarter,” said CEO Edward Stack. “The 17% increase in earnings per diluted share was driven by the continued growth of our omni-channel network, our powerful marketing and merchandising strategies, and the execution of these strategies by our store associates.”
For fiscal 2015, the company is expecting to report consolidated earnings per diluted share of around $3.10 to $3.20. This includes the expectation of around $100m to $200m of share repurchases in 2015.
Consolidated same store sales are currently expected to increase 1% to 3%, compared to a 2.4% increase in fiscal 2014.
Sterne Agee analyst, Sam Poser, noted: "We believe the continued commitment to expand e-commerce is critical for Dick's to compete. 2015 will continue to be an investment year in this initiative (incremental $0.04 in EPS), with the fruits to be realised in 2017 once the company fully takes in the e-commerce business from GSI."
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