Dick’s Sporting Goods reported second-quarter earnings that missed analyst expectations as rising costs and cautious consumer spending weighed on performance.
The retailer posted adjusted earnings of $3.53 per share for the three months ended July 27, below the $3.78 per share forecast from analysts polled by Refinitiv. Revenue totaled $5.59 billion, short of the $5.65 billion consensus estimate.
Shares of Dick’s Sporting Goods fell 2.3% in after-hours trading following the results. The stock has declined 20.76% over the past three months and 20.93% over the past 12 months, reflecting broader challenges in the retail sector.
The company also lowered its full-year outlook, projecting adjusted earnings of $11.00 to $12.00 per share, down from its prior range of $13.00 to $14.00. Analysts had expected $14.20 per share. Revenue guidance was trimmed to $21.90 billion to $22.20 billion, below the previous forecast of $22.35 billion.
Dick’s Sporting Goods has faced pressure from inflation-driven cost increases and shifting consumer preferences, particularly in discretionary spending categories. The company’s earnings revisions have trended downward, with 15 negative adjustments and just five positive revisions over the past 90 days, according to InvestingPro.
Despite the weaker-than-expected quarter, the retailer maintained its focus on inventory management and cost discipline to navigate the current economic environment.
