Dick's Sporting Goods Q1 Sales Jump 63% to $5.17B, Foot Locker Grows 6.4%
DKS•Dick's Sporting Goods reported Q1 net sales of $5.17 billion, up 63% year-on-year, driven by a 6.4% gain at U.S. Foot Locker and 6% growth at its core banner. Adjusted EPS of $2.90 slightly missed estimates, while revenue beat projections and integration charges totalled $96.5 million.
1. Q1 Financial Results
Dick's Sporting Goods posted net sales of $5.17 billion, up 63% year-over-year, with net income of $319.8 million translating to $3.54 per diluted share and adjusted EPS of $2.90 narrowly below consensus. Revenue surpassed the $5.09 billion projection, offsetting the slight earnings miss.
2. Foot Locker Performance
Foot Locker proforma comparable sales increased 0.6%, reversing a 2.9% decline a year earlier, while the U.S. Foot Locker banner delivered a 6.4% gain. Combined with 6% comp growth at the Dick's banner, consolidated comparable sales rose 4.1%.
3. Integration Expenses and Fast Break Rollout
Acquisition-related charges reached $96.5 million, including $53.8 million in integration costs and $42.7 million in inventory markdowns, with total fiscal 2026 charges expected to hit $200 million. The Fast Break remodel concept expanded from 11 pilot stores to about 100 locations, driving double-digit comparable sales gains and targeting 250 stores by back-to-school.
4. Fiscal 2026 Outlook
The company raised its comparable sales growth forecast to 2.5%-4% for Dick's and 1.5%-3% for Foot Locker. It narrowed full-year GAAP operating income guidance to $1.69-1.81 billion, increased non-GAAP operating income to $1.71-1.83 billion, and maintained adjusted EPS guidance of $13.50-14.50.
