DICK’S Sporting Goods (DKS) Q2 2025 earnings summary

Executive summary

• Q2 2024 net sales rose 7.8% to $3.47 billion, with comparable sales up 4.5% and EBT margin reaching 13.9%, driven by higher average ticket, increased transactions, and a favorable calendar shift.

• Earnings per diluted share increased 55% to $4.37, with net income at $362.2 million.

• Raised full-year 2024 guidance for comparable sales growth to 2.5%-3.5% and EPS to $13.55-$13.90, reflecting confidence in business momentum.

• Continued market share gains attributed to differentiated product assortment, omnichannel experience, and strong brand engagement.

• Investments in new store concepts, digital innovation, and vertical brands are key growth drivers.

Financial highlights

• Gross profit was $1.28 billion (36.73% of net sales), up 231 basis points year-over-year, driven by higher merchandise margin and lower shrink.

• EBT margin reached 13.9%, up from 10.1% last year; EPS rose 55% to $4.37, including a $0.30 benefit from the calendar shift.

• Inventory increased 11% year-over-year, reflecting strategic investment in key items and categories.

• Cash and cash equivalents at quarter-end were $1.69 billion; no borrowings under the $1.6 billion credit facility.

• SG&A expenses grew 4.2% but decreased as a percentage of sales by 79 basis points.

Outlook and guidance

• Full-year consolidated sales expected at $13.1-$13.2 billion, with comparable sales growth guidance raised to 2.5%-3.5%.

• Full-year EPS guidance increased to $13.55-$13.90; EBT margin expected at 11.2% at midpoint.

• Gross margin expected to expand year-over-year; SG&A to deleverage modestly due to strategic investments.

• Net capital expenditures projected at $800 million; share repurchases of $300 million planned.

• Calendar shift to negatively impact Q3 sales and EPS by $105 million and $0.35, respectively, but no impact on full-year results.