Dick’s Sporting Goods reported second-quarter results that fell short of Wall Street forecasts, prompting a substantial stock sell-off. The company’s shares dropped 30% during trading, marking the worst performance since 2023.
The Dick’s banner generated 4.9% comparable sales growth for the quarter, supported by broad-based category performance including contributions from World Cup-related merchandise. However, this strength was offset by weakness in the Foot Locker division, which posted a 3.6% comparable sales decline. In response to the Foot Locker underperformance, the company revised its full-year outlook for that business to a range of flat to down 2%.
Net income for the period ended August 1 totaled $315 million, or $3.50 per share, compared with $381 million, or $4.71 per share in the prior-year period. On an adjusted basis, excluding one-time acquisition-related items, the company reported $3.53 per share. Total sales increased to $5.59 billion from $3.65 billion in the year-ago quarter.
The company lowered its consolidated full-year net sales guidance to a range of $21.9 billion to $22.2 billion from the previous range of $22.1 billion to $22.4 billion. Operating income guidance was also reduced to $1.45 billion to $1.55 billion from a prior range of $1.69 billion to $1.81 billion. Dick’s maintained its outlook for its core business at 2.5% to 4% growth.
CEO Lauren Hobart stated that while the company was adopting a more cautious stance for the remainder of the year, confidence remained high in both the Dick’s business and long-term opportunities at Foot Locker. The company also reported receiving $59 million in tariff refunds during the quarter along with $2.1 million in related interest income. Dick’s acquired Foot Locker in 2025 for $2.4 billion as part of a strategy to expand internationally and strengthen competitive positioning.
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