Dick’s Sporting Goods on Tuesday reported second-quarter earnings that fell short of Wall Street’s expectations, and the company lowered its full-year guidance, citing a “challenging athletic footwear and apparel marketplace.” Shares of the retailer dropped roughly 20% in morning trading.
The company, which acquired Foot Locker in 2025, said its namesake Dick’s stores posted 4.9% comparable sales growth during the quarter, driven by “broad-based growth” across categories, including a strong boost from the World Cup. But Foot Locker continued to struggle, with comparable sales declining 3.6%.
As a result, Dick’s revised its outlook for the Foot Locker business to a range of flat to down 2% for the year. The company still expects its Dick’s business to grow between 2.5% and 4%, but it trimmed its overall net sales guidance to a range of $21.9 billion to $22.2 billion, down from a previous range of $22.1 billion to $22.4 billion.
The company also lowered its consolidated operating income outlook to a range of $1.45 billion to $1.55 billion, down from its prior forecast of $1.69 billion to $1.81 billion.
Quarterly results vs. expectations
Here’s how Dick’s performed in its fiscal second quarter compared with what Wall Street was expecting, according to a survey of analysts by LSEG:
For the period ended Aug. 1, Dick’s reported net income of $315 million, or $3.50 per share, down from $381 million, or $4.71 per share, in the year-ago period. Adjusted for one-time items, including the Foot Locker acquisition, earnings were $3.53 per share.
Sales rose to $5.59 billion from $3.65 billion a year earlier.
The company also said it received $59 million in tariff refunds during the quarter, along with $2.1 million in related interest income.
Foot Locker turnaround underway
The results come as Dick’s works to turn around Foot Locker, which has weighed on the company’s bottom line. Dick’s acquired Foot Locker for $2.4 billion in 2025, aiming to expand its international presence and better compete with rivals.
CEO Lauren Hobart struck a confident tone despite the lowered outlook. “While we are taking a more cautious view of the balance of the year, we remain highly confident in the strength of the DICK’S Business and our long-term opportunity at Foot Locker,” she said in a statement.
The company is refining Foot Locker’s strategy to return to growth, particularly as sportswear demand remains strong overall.
Source: www.cnbc.com — https://www.cnbc.com/2026/08/25/dicks-sporting-goods-dks-earnings-q2-2026.html
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