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Dick's Sporting Goods Inc. Reports Operating Results (10-Q)

November 21, 2012 | About:
10qk

10qk

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Dick's Sporting Goods Inc. (DKS) filed Quarterly Report for the period ended 2012-10-27.

Dick's Sporting Goods, Inc. has a market cap of $6.07 billion; its shares were traded at around $51.79 with a P/E ratio of 21 and P/S ratio of 1.2. The dividend yield of Dick's Sporting Goods, Inc. stocks is 1%. Dick's Sporting Goods, Inc. had an annual average earning growth of 11.4% over the past 10 years.

Highlight of Business Operations:

§ Consolidated same store sales performance For the 39 weeks ended October 27, 2012, the Companys consolidated same store sales increased 5.6% compared to a 2.9% increase during the same period in fiscal 2011. The Company believes that

Net sales for the current quarter increased 11% to $1.3 billion, due primarily to the growth of our store network and a 5.1% increase in consolidated same store sales. The 5.1% consolidated same store sales increase consisted of a 3.9% increase at Dicks Sporting Goods stores, a 2.3% increase at Golf Galaxy and a 46.7% increase in the Companys eCommerce business. The inclusion of the eCommerce business resulted in an increase of 128 basis points to the Companys consolidated same store sales calculation for the 13 weeks ended October 27, 2012, compared to 37 basis points for the 13 weeks ended October 29, 2011.

Gross profit increased 16% to $406.1 million for the current quarter from $350.6 million for the 13 weeks ended October 29, 2011. The 123 basis point increase as a percentage of net sales was due primarily to merchandise margin expansion of 91 basis points and a 33 basis point decrease in fixed occupancy costs resulting primarily from the leverage on the increase in sales compared to last years third quarter. Every 10 basis point change in merchandise margin would have impacted the earnings before income taxes for the current quarter by approximately $1 million.

Net sales for the period increased 12% to $4.0 billion, due primarily to the growth of our store network and a 5.6% increase in consolidated same store sales. The 5.6% consolidated same store sales increase consisted of a 4.5% increase at Dicks Sporting Goods stores, a 6.4% increase at Golf Galaxy and a 42.9% increase in the Companys eCommerce business. The inclusion of the eCommerce business resulted in an increase of 101 basis points to the Companys consolidated same store sales calculation for the 39 weeks ended October 27, 2012, compared to 50 basis points for the 39 weeks ended October 29, 2011.

Gross profit increased 15% to $1.2 billion for the current period from $1.1 billion for the 39 weeks ended October 29, 2011. The 91 basis point increase was due primarily to a 63 basis point decrease in fixed occupancy costs resulting primarily from the leverage on the increase in sales compared to last years period and merchandise margin expansion of 38 basis points. Every 10 basis point change in merchandise margin would have impacted earnings before income taxes for the current period by approximately $4 million.

Read the The complete Report

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