Sporting goods retailer Dick’s Sporting Goods, Inc. (DKS: Quote) posted higher fourth-quarter net income of $129.75 million, or $1.03 per share, versus last year’s $111.1 million, or $0.88 per share. On average, 28 analysts polled by Thomson Reuters expected earnings per share of $1.06 for the quarter. Analysts’ estimates typically exclude one-time items. The fourth quarter includes nearly $0.03 per share for the 14th week.
Net sales for the 14-week quarter totaled $1.805 billion, up 12.0% from $1.6 billion a year before, driven by the growth of the company’s store network, a 1.2% rise in consolidated same store sales on a 13-week to 13-week basis, and the inclusion of the 14th week of sales. Analysts estimated revenues of $1.86 billion for the quarter. The 1.2% growth in same-store sales included a 2.2% drop at Dick’s Sporting Goods stores, a 1.3% increase at Golf Galaxy and a 54.2% increase in the eCommerce business, according to Dick’s Sporting Goods.
Looking ahead to the first quarter of 2013, consolidated earnings per share of about $0.47 – $0.49 are anticipated, while same-store sales adjusted for the shifted calendar due to the 53rd week in 2012 are now expected to be approximately negative 2% to negative 1% in the first quarter of 2013, or nearly flat to 1% not adjusted. Analysts estimate first-quarter earnings of $0.50 per share.
For the full year 2013, the company currently sees consolidated earnings per share of around $2.84 – $2.86, with consolidated same-store sales projected to increase nearly 2 to 3% on a 52-week to 52-week comparative basis. Analysts project annual earnings of $2.92 per share.
The company expects to open nearly 40 new Dick’s Sporting Goods stores, relocate one Dick’s Sporting Goods store and complete four full and 75 partial remodels of Dick’s Sporting Goods stores in 2013. In addition, the board authorized a share repurchase program of up to $1 billion of stock over the next five years. The company currently expects to finance the repurchases from cash on hand and if necessary, availability under its credit facility.
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by RTT Staff Writer
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