DICK'S SPORTING GOODS, INC. (DKS) Earnings History

DICK'S SPORTING GOODS, INC. - Q3 FY2025 Earnings

Filed at: Nov 25, 2025, 7:03 AM EST|Read from source

EXECUTIVE SUMMARY

DICK'S Sporting Goods reported a strong third quarter for its core business, driven by comparable sales growth and gross margin expansion. The company also completed the transformative acquisition of Foot Locker and raised its full-year outlook for the DICK'S Business.

POSITIVE HIGHLIGHTS

  • •

    DICK'S Business comparable sales grew 5.7%, driven by increases in both average ticket and transactions.

    positive
  • •

    Gross margin expanded for the DICK'S Business.

    positive
  • •

    Full year 2025 guidance for the DICK'S Business was raised for comparable sales growth to 3.5%-4.0% and EPS to $14.25-$14.55.

    positive
  • •

    Completed the acquisition of Foot Locker, positioning the company as a global leader in sports retail.

    positive

CONCERNS & RISKS

  • •

    Consolidated GAAP net income decreased 67% to $75 million, and diluted EPS fell 69% to $0.86, largely due to acquisition-related costs and the impact of Foot Locker's operations.

    negative
  • •

    Consolidated non-GAAP net income decreased 21% to $181 million, and diluted EPS fell 25% to $2.07.

    negative
  • •

    Inventories increased 51% year-over-year to $5.64 billion, driven by the Foot Locker acquisition.

    attention
  • •

    The Foot Locker Business is expected to see a gross margin decline of 1000-1500 basis points in Q4 2025 due to inventory optimization actions.

    attention

FINANCIAL METRICS

Revenue
Quarterly
$4.17B
+36.3%
Prior year: $3.06B
Annual (YTD)
$10.99B
N/A
Prior year: $9.55B
Net Income
Quarterly
$75.21M
-67.0%
Prior year: $227.81M
Annual (YTD)
$720.90M
N/A
Prior year: $865.34M
EPS (Diluted)
Quarterly
$0.86
-68.7%
Prior year: $2.75
Annual (YTD)
$8.66
N/A
Prior year: $10.43
Operating Income
Quarterly
$93.10M
-67.5%
Prior year: $286.04M
Annual (YTD)
$911.40M
N/A
Prior year: $1.09B
EPS (Basic)
Quarterly
$0.88
-68.9%
Prior year: $2.83
Annual (YTD)
$8.88
N/A
Prior year: $10.75

MARGIN ANALYSIS

Gross Margin
Current Quarter
33.1%
Prior Year
35.8%
YoY Change
-264 bps
Operating Margin
Current Quarter
2.2%
Prior Year
9.4%
YoY Change
-713 bps
Net Margin
Current Quarter
1.8%
Prior Year
7.5%
YoY Change
-565 bps

Margin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.

MANAGEMENT GUIDANCE

FY 2025

eps_diluted
$14.25—$14.55
Mid-point: $14.40
"Guidance is for the DICK'S Business only and excludes Foot Locker Business results, investment gains, and merger/integration costs."
comparable_sales
$3.5M—$4.0M
Mid-point: $3.8M
"Guidance is for the DICK'S Business only."

Q4 2025

gross_margin
"For the Foot Locker Business, expected to be down 1000 to 1500 basis points compared to prior year, due to inventory optimization. Operating profit for Foot Locker expected to be slightly negative, excluding one-time costs."

Forward-looking guidance is subject to change and does not constitute a guarantee. Actual results may differ materially from these estimates.

SPECIAL ITEMS & ADJUSTMENTS

Q3 FY2025
Merger and integration costs related to Foot Locker acquisition
Impacted consolidated GAAP income from operations and net income.
+$138.549M
Q3 FY2025
Investment gains from pre-existing Foot Locker equity securities
Favorable impact on income before taxes and net income, partially offset by non-deductible costs.
+$15.702M
Total Impact
+$154.251M

Special items are non-recurring events that may distort period-over-period comparisons. Analysts typically adjust for these when calculating normalized earnings.

MANAGEMENT COMMENTARY

Acquisition of Foot Locker is a bold and transformative step, creating a global platform at the intersection of sport and culture.

— DICK'S SPORTING GOODS, INC., Q3 FY2025 2025 Earnings Call

Decisive actions are being taken at Foot Locker to 'clean out the garage' by clearing unproductive inventory and closing underperforming stores for a fresh start in 2026.

— DICK'S SPORTING GOODS, INC., Q3 FY2025 2025 Earnings Call

The DICK'S Business continues to deliver outstanding results with strong comparable sales growth and gross margin expansion.

— DICK'S SPORTING GOODS, INC., Q3 FY2025 2025 Earnings Call

Commentary excerpts from earnings call transcripts provide management's perspective on performance, strategy, and outlook. Always review full transcripts for complete context.

OPERATIONAL METRICS

Dicks Business Comparable Sales
5.7
+32.6% YoY
Prior year: 4.3
percent
Dicks Business Eps Diluted
2.8
+1.1% YoY
Prior year: 2.8
dollars
Dicks Business Income From Operations Margin
8.9
Prior year: 9.5
percent
Foot Locker Business Proforma Comparable Sales
-4.7
Prior year: 2.3
percent
Total Stores
3.2K
locations

Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.

Related Research

Analysis

DICK'S Standalone EPS Grew 3.8% — Consolidated EPS Fell 29%