DICK'S Sporting Goods revealed that its net income in the fourth quarter and for the year fell short, despite the fact that its eCommerce sales grew.
Net income for Q4 was $102.6 million, compared to $116 million in the previous year, while net income for the year was $319.9 million, down from $323.4 million in 2017.
"We are pleased with our fourth quarter results. Our core business performed quite well, as our athletes have responded positively to many of our initiatives, resulting in comp sales gains across key categories and double digit percentage increases in eCommerce and private brand sales," Chairman and Chief Executive Officer Edward W. Stack said in a press release. "For 2018, we delivered earnings near the high end of our expectations, which represents an 8% increase over last year. This achievement is the direct result of the hard work and commitment from our over 40,000 talented teammates."
He added, "As we look forward to 2019, we are enthusiastic about our business and expect to return to positive comp sales beginning in the second quarter. We will continue to make significant investments in our business to meet our athletes' ever-changing needs and grow our leadership position in the industry."
While net sales fell short, the company did see significant growth in its online sales. In fact, eCommerce sales for the final quarter of 2018 went up approximately 17 percent, and accounted for approximately 23 percent of total net sales, compared to around 19 percent during the fourth quarter of 2017.
The company also revealed that in Q4, it closed three locations. As of February 2, 2019, there were 729 DICK'S Sporting Goods stores in 47 states, 94 Golf Galaxy stores in 32 states, and 35 Field & Stream stores in 16 states.
"In 2019, we are focused on enhancing our athletes' experience in our stores, improving our eCommerce fulfillment capabilities and elevating our technology talent and capabilities," said Lauren R. Hobart, president of DICK'S Sporting Goods. "This is an exciting time for our company as we remain focused on building the best omni-channel experience in sporting goods."