Dick’s Sporting Goods’ Digital Sales Surge 194 Pct

Dick’s Sporting Goods Inc. reported on Wednesday (Aug. 26) that its eCommerce sales jumped 194 percent during Q2, with the inclusion of curbside contactless pickup, compared to Q2 2019, according to a press release.

The company also said that consolidated same-store sales rose 20.7 percent, despite the fact that about 15 percent of its stores were closed.

“We had an exceptionally strong Q2 in which we delivered our highest-ever quarterly sales and earnings,” Dick’s Sporting Goods Chairman and Chief Executive Officer Edward W. Stack said in the announcement. “During this pandemic, the importance of health and fitness has accelerated and participation in socially distant, outdoor activities has increased.

“There has also been a greater shift toward athletic and active lifestyle products, with people spending more time working and exercising at home,” Stack noted.

The company put its dividend program back into place on June 10, declaring a $0.3125 per share dividend on its common stock and Class B common stock that was paid on June 30.

Dick’s Sporting Goods’ board gave permission for and declared a $0.3125 dividend on common stock and Class B common stock payable on Sept. 25 to registered shareholders as of the close of business on Sept. 11.

The company said it concluded the quarter with $1.1 billion in cash and cash equivalents.

Overall inventory fell 12.2 percent at the conclusion of Q2 2020 compared to Q2 2019.

As for its overall results, Dick’s reported consolidated net income on a non-GAAP basis of $281.7 million ($3.21 per diluted share) on net sales of about $2.71 billion. The results exceeded analysts’ expectations of $1.30 earnings per share on $2.46 billion in revenue.

Dick’s previously reported that eCommerce sales increased 110 percent in Q1 2020 in contrast to Q1 2019. Stack said at the time, “We believe coming out of the current crisis, health and fitness will become even more important to the consumer.”