8-K
Dick's Sporting Goods, Inc. (DKS)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of report (Date of earliest event reported): May 28, 2024
DICK'S SPORTING GOODS, INC.
(Exact name of registrant as specified in its charter)
| Delaware | 001-31463 | 16-1241537 |
|---|---|---|
| (State or Other Jurisdiction of Incorporation) | (Commission File Number) | (IRS Employer Identification No.) |
345 Court Street, Coraopolis, PA 15108
(Address of Principal Executive Offices)
(724) 273-3400
(Registrant's Telephone Number, Including Area Code)
N/A
(Former Name or Former Address, if Changed Since Last Report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:Title of each classTrading Symbol(s)Name of each exchange on which registeredCommon Stock, $0.01 par valueDKSThe New York Stock Exchange
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging Growth Company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o
TABLE OF CONTENTS
| ITEM 2.02. RESULTS OF OPERATIONS AND FINANCIAL CONDITION | 3 |
|---|---|
| ITEM 8.01. OTHER EVENTS | 3 |
| ITEM 9.01. FINANCIAL STATEMENTS AND EXHIBITS | 3 |
| SIGNATURE | 4 |
ITEM 2.02. RESULTS OF OPERATIONS AND FINANCIAL CONDITION
On May 29, 2024, the Company issued a press release announcing its results for the first fiscal quarter ended May 4, 2024 and certain other information that is furnished as Exhibit 99.1 to this Form 8-K.
ITEM 8.01. OTHER EVENTS
On May 28, 2024, the Board of Directors of Dick's Sporting Goods, Inc. authorized and declared a quarterly dividend in the amount of $1.10 per share on the Company's Common Stock and Class B Common Stock. The dividend is payable in cash on June 28, 2024 to stockholders of record at the close of business on June 14, 2024.
ITEM 9.01. FINANCIAL STATEMENTS AND EXHIBITS
(d) Exhibits.
The following exhibits are being furnished pursuant to Item 601 of Regulation S-K and General Instruction B.2 to this Form 8-K:
| Exhibit No. | Description |
|---|---|
| 99.1 | Press Release dated May 29, 2024 by Dick's Sporting Goods, Inc. furnished herewith |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| DICK'S SPORTING GOODS, INC. | ||
|---|---|---|
| Date: May 29, 2024 | By: | /s/ NAVDEEP GUPTA |
| Name: | Navdeep Gupta | |
| Title: | Executive Vice President – Chief Financial Officer |
Exhibit Index
| Exhibit No. | Description |
|---|---|
| 99.1 | Press Release dated May 29, 2024 by Dick's Sporting Goods, Inc. furnished herewith |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |
Document
| Exhibit 99.1 |
|---|
| FOR IMMEDIATE RELEASE |
| --- |
DICK'S Sporting Goods Reports First Quarter Results; Raises 2024 Outlook
– Delivers Net Sales of $3.02 Billion, Up 6.2% Versus the Prior Year –
– Delivers Double-Digit EBT Margin of 11.3% –
●Delivered 5.3% comparable sales growth, driven by growth in transactions and average ticket
●Reported earnings per diluted share of $3.30 with 4% EBT growth
●Raises full year 2024 guidance for comparable sales growth to a range of 2.0% to 3.0%, up from 1.0% to 2.0% previously
●Raises full year 2024 earnings per diluted share guidance to a range of $13.35 to 13.75, up from $12.85 to 13.25 previously
| "Our strong first quarter results continue to prove that DICK’S is the go-to destination for sport and sport culture in the US. The product pipeline from our key brand partners and our vertical brand portfolio has never been better. For example, Nike's recent Paris innovation summit highlighted a number of breakthrough products across apparel and footwear that we look forward to bringing to our athletes. We have significant momentum and are excited about the differentiated product and compelling experience we are providing."<br><br>Ed Stack, Executive Chairman<br><br>"We are incredibly proud of our first quarter results. With our comps increasing 5.3% and double-digit EBT margin of over 11%, we drove continued momentum in our business. Our core strategies and execution are delivering strong results, and we are continuing to gain market share as consumers prioritize DICK'S Sporting Goods to meet their needs. Because of our strong Q1 performance, our expectations for continued robust demand from athletes and the confidence we have in our business, we are raising our full year outlook."<br><br>Lauren Hobart, President and Chief Executive Officer |
|---|
PITTSBURGH, May 29, 2024 - DICK'S Sporting Goods, Inc. (NYSE: DKS), the largest U.S. based full-line omni-channel sporting goods retailer, today reported sales and earnings results for the first quarter ended May 4, 2024.
| First Quarter Operating Results<br><br>(dollars in millions, except per share data) | 13 Weeks Ended | Change (1) | |||||||
|---|---|---|---|---|---|---|---|---|---|
| May 4, 2024 | April 29, 2023 | ||||||||
| Net sales (2) | $ | 3,018 | $ | 2,842 | $ | 176 | 6.2% | ||
| Comparable sales (2) (3) | 5.3% | 3.6% | |||||||
| Income before income taxes (4) | $ | 342 | $ | 328 | $ | 14 | 4% | ||
| Income before income taxes (4) (% of net sales) | 11.3% | 11.6% | (21) bps | ||||||
| Effective tax rate | 19.6% | 7.2% | 1,239 bps | ||||||
| Net income | $ | 275 | $ | 305 | $ | (29) | (10)% | ||
| Earnings per diluted share | $ | 3.30 | $ | 3.40 | $ | (0.10) | (3)% | ||
| Balance Sheet<br><br>(in millions) | As of<br><br>May 4, 2024 | As of<br><br>April 29, 2023 | Change (1) | % Change (1) | |||||
| --- | --- | --- | --- | --- | --- | --- | |||
| Cash and cash equivalents | $ | 1,649 | $ | 1,643 | —% | ||||
| Inventories, net | $ | 3,201 | $ | 3,034 | 6% | ||||
| Total debt (5) | $ | 1,483 | $ | 1,483 | —% |
All values are in US Dollars.
| Capital Allocation<br><br>(in millions) | 13 Weeks Ended | Change (1) | % Change (1) | |||||
|---|---|---|---|---|---|---|---|---|
| May 4, 2024 | April 29, 2023 | |||||||
| Share repurchases (6) | $ | 114 | $ | 58 | 97% | |||
| Dividends paid (7) | $ | 94 | $ | 105 | (10)% | |||
| Gross capital expenditures | $ | 158 | $ | 85 | 86% | |||
| Net capital expenditures (8) | $ | 126 | $ | 61 | 107% |
All values are in US Dollars.
Notes
1.Column may not recalculate due to rounding.
2.Due to the 53rd week in fiscal 2023, there is a one-week shift in the fiscal 2024 calendar compared to the prior year, which favorably impacted current period net sales comparisons by approximately $45 million. Comparable sales for fiscal 2024 are calculated by shifting the prior year period by one week to compare similar calendar weeks.
3.Beginning in fiscal 2024, we revised our method for calculating comparable sales to include GameChanger revenue. Prior year information has been revised to reflect this change for comparability purposes. See additional details as furnished in Exhibit 99.2 of the Company’s Current Report on Form 8-K, filed with the SEC on March 14, 2024.
4.Also referred to by management as earnings before income taxes ("EBT").
5.The Company had no outstanding borrowings under its revolving credit facility in 2024 and 2023.
6.During the 13 weeks ended May 4, 2024, the Company repurchased 0.5 million shares of its common stock under its share repurchase program at an average price of $207.32 per share, for a total cost of $113.6 million, of which $5.0 million was paid subsequent to the first fiscal quarter. The Company has $665.9 million remaining under its authorization as of May 4, 2024.
7.The Company declared and paid quarterly dividends of $1.10 per share in fiscal 2024 and $1.00 per share in fiscal 2023.
8.For additional information, see GAAP to non-GAAP reconciliations included in tables later in the release under the heading "GAAP to Non-GAAP Reconciliations."
Quarterly Dividend
On May 28, 2024, the Company's Board of Directors authorized and declared a quarterly dividend in the amount of $1.10 per share on the Company's common stock and Class B common stock. The dividend is payable in cash on June 28, 2024 to stockholders of record at the close of business on June 14, 2024.
Full Year 2024 Outlook
The Company's Full Year Outlook for 2024 is presented below:
| Metric | 2024 Outlook |
|---|---|
| Earnings per diluted share | ●$13.35 to 13.75<br><br>•Based on approximately 83 million diluted shares outstanding<br><br>•Based on an effective tax rate of approximately 23% |
| Net sales | ●$13.1 billion to 13.2 billion |
| Comparable sales | ●Growth of 2.0% to 3.0% |
| Capital expenditures | ●Approximately $900 million on a gross basis<br><br>●Approximately $800 million on a net basis |
Store Count and Square Footage
The following tables summarize store activity for the periods indicated:
| 13 Weeks Ended May 4, 2024 | 13 Weeks Ended April 29, 2023 | ||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| DICK'S Sporting Goods | Specialty Concept Stores (1) | Total (2) | DICK'S Sporting Goods | Specialty Concept Stores (1) | Total (2) | ||||||||||||
| Beginning stores | 724 | 131 | 855 | 728 | 125 | 853 | |||||||||||
| Q1 New stores | 1 | 3 | 4 | — | — | — | |||||||||||
| Stores acquired (3) | — | — | — | — | 12 | 12 | |||||||||||
| Closed stores | 2 | — | 2 | — | 2 | 2 | |||||||||||
| Ending stores | 723 (4) | 134 | 857 | 728 | 135 | 863 | |||||||||||
| Relocated stores | 3 | 1 | 4 | 1 | — | 1 | Square Footage:<br><br>(in millions) | DICK'S Sporting Goods | Specialty Concept Stores (1) | Total (2)(5) | |||||||
| --- | --- | --- | --- | ||||||||||||||
| Q1 2023 | 39.2 | 3.4 | 42.6 | ||||||||||||||
| Q2 2023 | 39.0 | 3.4 | 42.4 | ||||||||||||||
| Q3 2023 | 39.2 | 3.6 | 42.7 | ||||||||||||||
| Q4 2023 | 39.3 | 3.4 | 42.7 | ||||||||||||||
| Q1 2024 | 39.4 | 3.5 | 42.9 |
(1)Includes our Golf Galaxy, Public Lands, Going Going Gone! and other specialty concept stores. As of May 4, 2024, we operated 106 Golf Galaxy stores, 7 Public Lands stores, 18 Going Going Gone! stores, and other specialty concept stores. As of April 29, 2023, we operated 97 Golf Galaxy stores, 7 Public Lands stores, 15 Going Going Gone! stores and other specialty concept stores. In some markets, we operate DICK’S Sporting Goods stores adjacent to our specialty concept stores on the same property with a pass-through for our athletes. We refer to this format as a “combo store” and include combo store openings within both the DICK’S Sporting Goods and specialty concept store reconciliations, as applicable. As of May 4, 2024, the Company operated 19 combo stores.
(2)Excludes Warehouse Sale store locations that are temporary in nature, of which the Company operated 34 and 39 as of May 4, 2024 and April 29, 2023, respectively.
(3)Represents Moosejaw store locations acquired by the Company during the first quarter of fiscal 2023, which average approximately 4,000 square feet per store. The Company closed 10 of the previously acquired Moosejaw store locations during fiscal 2023.
(4)As of May 4, 2024, includes 14 DICK'S House of Sport stores, with two new openings during the first quarter of fiscal 2024, one of which was relocated from a prior store location.
(5)Column may not recalculate due to rounding.
Non-GAAP Financial Measures
In addition to reporting the Company's financial results in accordance with generally accepted accounting principles ("GAAP"), the Company reports certain financial results that differ from what is reported under GAAP. These non-GAAP financial measures include non-GAAP EBT margin, non-GAAP net income, non-GAAP earnings per diluted share and net capital expenditures, which management believes provides investors with useful supplemental information to evaluate the Company’s ongoing operations and to compare with past and future periods. Furthermore, management believes that adjustments related to its deferred compensation plans enables investors to better understand its selling, general and administrative expense trends excluding non-cash changes in our deferred compensation plan investment fair values from market fluctuations that are offset within other income. Management also uses these non-GAAP measures internally for forecasting, budgeting, and measuring its operating performance. These measures should be viewed as supplementing, and not as an alternative or substitute for, the Company's financial results prepared in accordance with GAAP. The methods used by the Company to calculate its non-GAAP financial measures may differ significantly from methods used by other companies to compute similar measures. As a result, any non-GAAP financial measures presented herein may not be comparable to similar measures provided by other companies. A reconciliation of the Company's non-GAAP measures to the most directly comparable GAAP financial measures are provided below and on the Company's website at investors.DICKS.com.
Forward-Looking Statements Involving Known and Unknown Risks and Uncertainties
This release contains forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified as those that may predict, forecast, indicate or imply future results or performance and by forward-looking words such as “believe”, “anticipate”, “expect”, “estimate”, “predict”, “intend”, “plan”, “project”, “goal”, “will”, “will be”, “will continue”, “will result”, “could”, “may”, “might” or any variations of such words or other words with similar meanings. These statements are subject to risks and uncertainties and change based on various important factors, many of which may be beyond the Company's control. The Company's future performance and actual results may differ materially from those expressed or implied in such forward-looking statements. Forward-looking statements should not be relied upon by investors as a prediction of actual results. Forward-looking statements include statements regarding, among other things, the Company's future performance, including 2024 outlook for earnings, sales, and capital expenditures; our plan to grow both our sales and earnings in 2024 through positive comps and higher gross margin; the repositioning of our real estate portfolio; our key brand partners, including Nike; access to differentiated products, including our product pipeline; our vertical brand portfolio; execution of our core strategies; demand from our athletes; expected share repurchases; the expected increased dividend on an annualized basis; and the health and positioning of our inventory.
Factors that could cause actual results to differ materially from those expressed or implied in any forward-looking statements include, but are not limited to: macroeconomic conditions, inflation, elevated interest rates and recessionary pressures, adverse changes in consumer disposable income, reinstatement of student loan payments, consumer confidence and perception of economic conditions, including the instability in the banking sector, geopolitical conflicts (including the conflicts in Ukraine and the Middle East) and the threat or outbreak of further conflicts, terrorism or public unrest and changes in consumer discretionary spending; changes in the competitive market and competition amongst retailers and increasing direct competition from vendors; fluctuations in product costs and availability; international risks and costs, including foreign trade issues, currency exchange rate fluctuations, shipment delays and supply chain disruptions and political instability; changes in consumer demand or shopping patterns and the ability to identify new trends and have the right trending products in stores and online; our investments in vertical brand offerings and new specialty concept stores; our investments in GameChanger, our sports technology platform; reputational harm or negative reactions from customers, vendors and stockholders regarding Company policy changes or advocacy efforts related to social and political issues; investments in strategic plans and initiatives not producing the anticipated benefits within the expected time-frame or at all; an ability to execute our real estate strategy and risks associated with the brick and mortar retail store model; risks related to our distribution and fulfillment network; unauthorized disclosure of sensitive or confidential customer information or disruptions or other problems with our information systems, including our eCommerce platform; our ability to hire and retain quality teammates, including store managers and sales associates, increasing labor costs or the loss of key personnel; weather-related risks and seasonality of certain categories of the Company's operations; our ability to protect against inventory shrink; the ability of suppliers, distributors and manufacturers to provide us with sufficient quantities of quality product in a timely fashion; changes in existing tax, labor, foreign trade and other laws and regulations, including those imposing new taxes, surcharges, and tariffs, and compliance with such laws and regulations; product safety and labeling concerns; various types of litigation and other claims and sufficient insurance with respect thereto; our ability to protect our intellectual property rights or claims of infringement by
third parties; the performance of professional sports teams and other factors relating to professional sports leagues and key athletes; and the availability of adequate capital; the issuance of quarterly cash dividends and our repurchase activity, if any; and obligations and other provisions related to our indebtedness.
For additional information on these and other factors that could affect the Company's actual results, see the risk factors set forth in the Company's filings with the Securities and Exchange Commission ("SEC"), including the most recent Annual Report on Form 10-K, filed with the SEC on March 28, 2024. The Company disclaims and does not undertake any obligation to update or revise any forward-looking statement in this press release, except as required by applicable law or regulation. Forward-looking statements included in this release are made as of the date of this release.
Conference Call Info
The Company will host a conference call today at 8:00 a.m. Eastern Time to discuss the first quarter results. Investors will have the opportunity to listen to the earnings conference call over the internet through the Company's website located at investors.DICKS.com. To listen to the live call, please go to the website at least fifteen minutes early to register, download, and install any necessary audio software. For those who cannot listen to the live webcast, it will be archived on the Company's website for approximately twelve months.
About DICK'S Sporting Goods, Inc.
DICK’S Sporting Goods (NYSE: DKS) creates confidence and excitement by inspiring, supporting and personally equipping all athletes to achieve their dreams. Founded in 1948 and headquartered in Pittsburgh, the leading omnichannel retailer serves athletes and outdoor enthusiasts in more than 850 DICK’S Sporting Goods, Golf Galaxy, Public Lands, Going Going Gone! and Warehouse Sale stores, online, and through the DICK’S mobile app. DICK’S also owns and operates DICK’S House of Sport and Golf Galaxy Performance Center, as well as GameChanger, a youth sports mobile platform for live streaming, scheduling, communications and scorekeeping.
Driven by its belief that sports have the power to change lives, DICK’S has been a longtime champion for youth sports and, together with its Foundation, has donated millions of dollars to support under-resourced teams and athletes through the Sports Matter program and other community-based initiatives. Additional information about DICK’S business, corporate giving, sustainability efforts and employment opportunities can be found on dicks.com,
investors.dicks.com, sportsmatter.org, dickssportinggoods.jobs and on Instagram, TikTok, Facebook and X.
Contacts:
Investor Relations:
Nate Gilch, Senior Director of Investor Relations
DICK'S Sporting Goods, Inc.
investors@dcsg.com
(724) 273-3400
Media Relations:
(724) 273-5552 or press@dcsg.com
Category: Earnings
DICK'S SPORTING GOODS, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME - UNAUDITED
(In thousands, except per share data)
| 13 Weeks Ended | ||||||||
|---|---|---|---|---|---|---|---|---|
| May 4,<br>2024 | % of<br><br>Sales | April 29,<br>2023 | % of<br><br>Sales | |||||
| Net sales | $ | 3,018,383 | 100.00 | % | $ | 2,842,181 | 100.00 | % |
| Cost of goods sold, including occupancy and distribution costs | 1,923,090 | 63.71 | 1,813,564 | 63.81 | ||||
| GROSS PROFIT | 1,095,293 | 36.29 | 1,028,617 | 36.19 | ||||
| Selling, general and administrative expenses | 743,399 | 24.63 | 693,845 | 24.41 | ||||
| Pre-opening expenses | 21,095 | 0.70 | 9,149 | 0.32 | ||||
| INCOME FROM OPERATIONS | 330,799 | 10.96 | 325,623 | 11.46 | ||||
| Interest expense | 13,835 | 0.46 | 15,043 | 0.53 | ||||
| Other (income) expense | (25,392) | (0.84) | (17,707) | (0.62) | ||||
| INCOME BEFORE INCOME TAXES | 342,356 | 11.34 | 328,287 | 11.55 | ||||
| Provision for income taxes | 67,061 | 2.22 | 23,638 | 0.83 | ||||
| NET INCOME | $ | 275,295 | 9.12 | % | $ | 304,649 | 10.72 | % |
| EARNINGS PER COMMON SHARE: | ||||||||
| Basic | $ | 3.42 | $ | 3.67 | ||||
| Diluted | $ | 3.30 | $ | 3.40 | ||||
| WEIGHTED AVERAGE COMMON SHARES OUTSTANDING: | ||||||||
| Basic | 80,582 | 83,071 | ||||||
| Diluted | 83,346 | 89,664 |
Beginning in 2024, the Company included grand opening advertising costs within pre-opening expenses, which were historically included within selling, general and administrative expenses. Prior period amounts have been reclassified to conform to our current year presentation.
DICK'S SPORTING GOODS, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS - UNAUDITED
(In thousands)
| May 4,<br>2024 | April 29,<br>2023 | February 3,<br>2024 | ||||
|---|---|---|---|---|---|---|
| ASSETS | ||||||
| CURRENT ASSETS: | ||||||
| Cash and cash equivalents | $ | 1,649,077 | $ | 1,642,680 | $ | 1,801,220 |
| Accounts receivable, net | 157,855 | 132,788 | 114,877 | |||
| Income taxes receivable | 3,738 | 16,249 | 4,108 | |||
| Inventories, net | 3,201,148 | 3,034,202 | 2,848,797 | |||
| Prepaid expenses and other current assets | 149,948 | 117,070 | 121,047 | |||
| Total current assets | 5,161,766 | 4,942,989 | 4,890,049 | |||
| Property and equipment, net | 1,750,634 | 1,372,776 | 1,638,161 | |||
| Operating lease assets | 2,262,793 | 2,207,631 | 2,257,482 | |||
| Intangible assets, net | 56,591 | 63,600 | 56,663 | |||
| Goodwill | 245,857 | 250,398 | 245,857 | |||
| Deferred income taxes | 25,746 | 31,282 | 37,846 | |||
| Other assets | 201,608 | 239,136 | 185,694 | |||
| TOTAL ASSETS | $ | 9,704,995 | $ | 9,107,812 | $ | 9,311,752 |
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||
| CURRENT LIABILITIES: | ||||||
| Accounts payable | $ | 1,476,444 | $ | 1,220,003 | $ | 1,288,728 |
| Accrued expenses | 616,947 | 495,743 | 551,369 | |||
| Operating lease liabilities | 485,854 | 466,911 | 492,856 | |||
| Income taxes payable | 102,356 | 44,865 | 54,508 | |||
| Deferred revenue and other liabilities | 340,572 | 297,633 | 364,933 | |||
| Total current liabilities | 3,022,173 | 2,525,155 | 2,752,394 | |||
| LONG-TERM LIABILITIES: | ||||||
| Revolving credit borrowings | — | — | — | |||
| Senior notes | 1,483,496 | 1,482,565 | 1,483,260 | |||
| Long-term operating lease liabilities | 2,336,845 | 2,256,068 | 2,287,714 | |||
| Other long-term liabilities | 175,215 | 169,854 | 171,103 | |||
| Total long-term liabilities | 3,995,556 | 3,908,487 | 3,942,077 | |||
| COMMITMENTS AND CONTINGENCIES | ||||||
| STOCKHOLDERS' EQUITY: | ||||||
| Common stock | 570 | 617 | 568 | |||
| Class B common stock | 236 | 236 | 236 | |||
| Additional paid-in capital | 1,448,098 | 1,405,767 | 1,448,855 | |||
| Retained earnings | 5,773,338 | 5,096,789 | 5,588,914 | |||
| Accumulated other comprehensive loss | (389) | (345) | (329) | |||
| Treasury stock, at cost | (4,534,587) | (3,828,894) | (4,420,963) | |||
| Total stockholders' equity | 2,687,266 | 2,674,170 | 2,617,281 | |||
| TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ | 9,704,995 | $ | 9,107,812 | $ | 9,311,752 |
DICK'S SPORTING GOODS, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS - UNAUDITED
(In thousands)
| 13 Weeks Ended | ||||
|---|---|---|---|---|
| May 4,<br>2024 | April 29,<br>2023 | |||
| CASH FLOWS FROM OPERATING ACTIVITIES: | ||||
| Net income | $ | 275,295 | $ | 304,649 |
| Adjustments to reconcile net income to net cash provided by (used in) operating activities: | ||||
| Depreciation and amortization | 91,477 | 82,348 | ||
| Amortization of deferred financing fees and debt discount | 580 | 637 | ||
| Deferred income taxes | 12,100 | 9,907 | ||
| Stock-based compensation | 17,257 | 12,809 | ||
| Other, net | 100 | (1,464) | ||
| Changes in assets and liabilities: | ||||
| Accounts receivable | (29,146) | (25,991) | ||
| Inventories | (352,351) | (166,582) | ||
| Prepaid expenses and other assets | (22,918) | (11,913) | ||
| Accounts payable | 192,488 | (99,959) | ||
| Accrued expenses | 7,563 | (70,362) | ||
| Income taxes payable / receivable | 48,218 | 7,383 | ||
| Construction allowances provided by landlords | 31,369 | 23,684 | ||
| Deferred revenue and other liabilities | (21,798) | (42,183) | ||
| Operating lease assets and liabilities | (18,515) | (71,343) | ||
| Net cash provided by (used in) operating activities | 231,719 | (48,380) | ||
| CASH FLOWS FROM INVESTING ACTIVITIES: | ||||
| Capital expenditures | (157,525) | (84,507) | ||
| Proceeds from sale of other assets | — | 27,500 | ||
| Other investing activities | (474) | (31,360) | ||
| Net cash used in investing activities | (157,999) | (88,367) | ||
| CASH FLOWS FROM FINANCING ACTIVITIES: | ||||
| Principal paid in connection with exchange of convertible senior notes | — | (137) | ||
| Payments on finance lease obligations | — | (198) | ||
| Proceeds from exercise of stock options | 12,293 | 12,370 | ||
| Minimum tax withholding requirements | (30,300) | (94,695) | ||
| Cash paid for treasury stock | (108,629) | (57,701) | ||
| Cash dividends paid to stockholders | (94,395) | (104,783) | ||
| (Decrease) increase in bank overdraft | (4,772) | 100,278 | ||
| Net cash used in financing activities | (225,803) | (144,866) | ||
| EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS | (60) | (93) | ||
| NET DECREASE IN CASH AND CASH EQUIVALENTS | (152,143) | (281,706) | ||
| CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD | 1,801,220 | 1,924,386 | ||
| CASH AND CASH EQUIVALENTS, END OF PERIOD | $ | 1,649,077 | $ | 1,642,680 |
DICK'S SPORTING GOODS, INC.
GAAP to NON-GAAP RECONCILIATIONS - UNAUDITED
Non-GAAP Net Income and Earnings Per Share Reconciliations
(dollars in thousands, except per share amounts)
| 13 Weeks Ended May 4, 2024 | ||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selling, general and administrative expenses | Other (income) expense | Income before income taxes | Net income | Earnings per diluted share | ||||||||||
| GAAP Basis | $ | 743,399 | $ | (25,392) | $ | 342,356 | $ | 275,295 | $ | 3.30 | ||||
| % of Net Sales | 24.63 | % | (0.84) | % | 11.34 | % | 9.12 | % | ||||||
| Deferred compensation plan adjustments (1) | (3,747) | 3,747 | — | — | ||||||||||
| Non-GAAP Basis | $ | 739,652 | $ | (21,645) | $ | 342,356 | $ | 275,295 | $ | 3.30 | ||||
| % of Net Sales | 24.50 | % | (0.72) | % | 11.34 | % | 9.12 | % |
(1)Includes non-cash changes in fair value of employee deferred compensation plan investments held in rabbi trusts.
| 13 Weeks Ended April 29, 2023 | ||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selling, general and administrative expenses | Other (income) expense | Income before income taxes | Net income | Earnings per diluted share | ||||||||||
| GAAP Basis | $ | 693,845 | $ | (17,707) | $ | 328,287 | $ | 304,649 | $ | 3.40 | ||||
| % of Net Sales | 24.41 | % | (0.62) | % | 11.55 | % | 10.72 | % | ||||||
| Deferred compensation plan adjustments (1) | (179) | 179 | — | — | ||||||||||
| Non-GAAP Basis | $ | 693,666 | $ | (17,528) | $ | 328,287 | $ | 304,649 | $ | 3.40 | ||||
| % of Net Sales | 24.41 | % | (0.62) | % | 11.55 | % | 10.72 | % |
(1)Includes non-cash changes in fair value of employee deferred compensation plan investments held in rabbi trusts.
Reconciliation of Gross Capital Expenditures to Net Capital Expenditures
(in thousands)
The following table represents a reconciliation of the Company's gross capital expenditures to its capital expenditures, net of construction allowances.
| 13 Weeks Ended | ||||
|---|---|---|---|---|
| May 4,<br>2024 | April 29,<br>2023 | |||
| Gross capital expenditures | $ | (157,525) | $ | (84,507) |
| Construction allowances provided by landlords | 31,369 | 23,684 | ||
| Net capital expenditures | $ | (126,156) | $ | (60,823) |