DICK’S Sporting Goods Investor Relations Material

Dick’s is one of the largest sporting goods retailers in the US. The company sells equipment and apparel from national brands such as Nike, Under Armour, The North Face, and Adidas in their chain of sporting equipment, apparel, footwear, and accessories stores. Some of Dick’s main competitors include Big 5 Sporting Goods Corporation, Academy Sports & Outdoors, and VF Corporation.

Dick’s operates through approximately 850 stores in the US, including some smaller standalone-branded stores such as Golf Galaxy and Field & Stream. The physical stores are shy under 80 percent of their sales, and the rest come from their e-commerce leg.

Sporting goods is, at large, not a fast-growing consumer category. However, Dick’s has grown at a fast pace and healthy margin expansion in recent years. The margin expansion is fueled by their flourishing e-commerce business combined with a relatively static store count. This keeps their fixed costs fairly constant while the volume of sales and pricing of products pushed through their stores and website increases significantly.