Dick’s See Shares Drop on Change at the Top
November 24, 2020 at 09:35 AM EST
Tuesday, November 24, 2020 Dick’s See Shares Drop on Change at the Top Dick’s Sporting Goods (NYSE:DKS) on Tuesday announced its current president, Lauren Hobart, will succeed Ed Stack as chief executive on Feb. 1. Stack, 65, will transition to executive chairman and remain chief merchant, the company said. He took over the business from his dad, Dick Stack, in 1984, at age 29. He took the company public in 2002. The announcement comes as Dick’s Sporting Goods continues to reap the benefits of consumers buying more workout gear, sporting goods and outdoor equipment during the coronavirus pandemic. Its e-commerce sales surged 95% during the third quarter, and it reported record quarterly same-store sales growth of more than 23%. The company also cited strength in the golf category. For the quarter ended Oct. 31, Dick’s Sporting Goods’ net income grew to $177.2 million, or $1.84 a share, from $57.6 million, or 66 cents per share, a year earlier. Excluding one-time charges, the company earned $2.01 per share, better than the $1.01 expected by analysts. Net sales climbed roughly 23% to $2.41 billion from $1.96 billion a year earlier, better than the $2.23 billion forecast by analysts. The company said it is not offering an outlook for the remainder of the year due to the uncertainty stemming from the pandemic. DKS shares dipped 78 cents, or 1.3%, to $58.10.