Dick’s Sporting Goods Tops Q2 Earnings Estimates

But stock is dropping because of disappointing earnings guidance

Aug 14, 2012, 2:03 pm EDT | By Christopher Freeburn, InvestorPlace Writer

Dick’s Sporting Goods (NYSE:DKS) said on Tuesday that it earned $53.7 million during the second quarter, down from $73.8 million in the same period last year. The retail chain recorded $1.44 billion in revenue, up 10% over 2011.

Adjusted EPS for the quarter was 65 cents. That narrowly beat Wall Street, which was looking for 64 cents a share, Reuters noted.

Dick’s also projected current quarter earnings of 36 cents a share, matching analysts’ forecasts.

Investors were not impressed. Shares of Dick’s Sporting Goods fell more than 4% in Tuesday afternoon trading.

The company increased its earnings outlook for the full year, predicting profits of between $2.47 and $2.51 a share. That was up from earlier guidance of between $2.45 and $2.48 a share.

Wall Street is looking for earnings of $2.51 a share for 2012. Analysts cited by Reuters expressed disappointment that the earnings outlook for the year hadn’t been raised more.

Article printed from InvestorPlace Media, http://investorplace.com/2012/08/dicks-sporting-goods-tops-q2-earnings-estimates/.