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DICK'S Sporting Goods Reports Third Quarter Results; Exceeds Expectations

  DICK'S Sporting Goods Reports Third Quarter Results; Exceeds Expectations

- Consolidated earnings per diluted share totaled $0.40 and consolidated same
store sales increased 3.3% (adjusted for the shifted calendar), in both cases
exceeding prior guidance

- Company narrows full year non-GAAP guidance range to $2.62 to 2.65 per
diluted share

- Capital allocation strategy on track, with additional share repurchases
totaling approximately $25.0 million and declaration of $0.125 per share
quarterly dividend

PR Newswire

PITTSBURGH, Nov. 19, 2013

PITTSBURGH, Nov.19, 2013 /PRNewswire/ --DICK'S Sporting Goods,Inc. (NYSE:
DKS), the largest U.S. based full-line sporting goods retailer, today reported
sales and earnings results for the third quarter ended November2, 2013.

Third Quarter Results

The Company reported consolidated net income for the third quarter ended
November2, 2013 of $50.0 million, or $0.40 per diluted share, compared to the
Company's expectations provided on August20, 2013 of $0.37 to 0.39 per
diluted share. For the third quarter ended October27, 2012, the Company
reported consolidated net income of $50.1 million, or $0.40 per diluted
share.

Net sales for the third quarter of 2013 increased 6.7% to $1.4 billion.
Adjusted for the shifted calendar, due to the 53^rd week in 2012, consolidated
same store sales increased 3.3%, compared to the Company's guidance of
approximately flat to an increase of 1%. Third quarter 2012 consolidated same
store sales increased 5.1%. Shifted same store sales in the third quarter of
2013 for DICK'S Sporting Goods increased 3.4% while Golf Galaxy increased
2.2%.

Unshifted consolidated same store sales for the third quarter increased 0.3%,
compared to the Company's guidance of an approximate 2 to 3% decrease.
Unshifted same store sales in the third quarter of 2013 for DICK'S Sporting
Goods increased 0.6% while Golf Galaxy decreased 4.7%. eCommerce penetration
for the quarter was 6.5% of total sales.

"Despite the continued challenging consumer environment, we delivered better
than expected results in the third quarter, exceeding both our sales and
earnings expectations. The marketing efforts, improved customer experience and
selective pricing initiatives we began in the third quarter were successful in
driving traffic and sales, but at slightly lower than anticipated margins,"
said Edward W. Stack, Chairman and CEO. "We remain excited about the long-term
opportunities in our business that we presented at our analyst day in
September, and we will continue to drive towards those goals."

Store Development

In the third quarter, the Company opened 25 new DICK'S Sporting Goods stores,
one new Golf Galaxy store and two new Field & Stream stores. The Company also
relocated one DICK'S Sporting Goods store, repositioned one Golf Galaxy store
and completed three full and 22 apparel remodels of DICK'S Sporting Goods
stores. As of November2, 2013, the Company operated 552 DICK'S Sporting Goods
stores in 45 states, with approximately 29.9 million square feet and 82 Golf
Galaxy stores in 30 states, with approximately 1.4 million square feet.

Store count, square footage and new stores are listed in a table later in the
release under the heading "Store Count and Square Footage."

In the beginning of the fourth quarter, the Company opened six new DICK'S
Sporting Goods stores and remodeled one DICK'S Sporting Goods store. The
Company also opened one new True Runner store.

The Company has now completed its 2013 store development program, opening a
total of 40 new DICK'S Sporting Goods stores, one new Golf Galaxy store, two
new Field& Stream stores and one new True Runner store. The Company also
relocated one DICK'S Sporting Goods store, repositioned one Golf Galaxy store
and completed four full and 75 apparel remodels of DICK'S Sporting Goods
stores in 2013.

Balance Sheet

The Company ended the third quarter of 2013 with approximately $66 million in
cash and cash equivalents as compared to $294 million at the end of the third
quarter of 2012. Due to seasonality and capital utilization over the last 12
months, which included investments in omni-channel growth, store remodels,
share repurchases, and special and quarterly dividends, the Company ended the
quarter with approximately $116 million in outstanding borrowings under its
$500 million line of credit. The Company expects to end fiscal 2013 with no
outstanding borrowings under the revolving credit facility.

Inventory per square foot was 5.6% higher at the end of the third quarter of
2013 as compared to the end of the third quarter of 2012.

Year-to-Date Results

The Company reported consolidated non-GAAP net income for the 39 weeks ended
November 2, 2013 of $199.3 million, or $1.59 per diluted share. For the 39
weeks ended October 27, 2012, the Company reported consolidated non-GAAP net
income of $188.6 million, or $1.50 per diluted share.

On a GAAP basis, the Company reported consolidated net income for the 39 weeks
ended November 2, 2013 of $199.0 million, or $1.58 per diluted share. For the
39 weeks ended October 27, 2012, on a GAAP basis, the Company reported
consolidated net income of $161.0 million, or $1.28 per diluted share. The
GAAP to non-GAAP reconciliations are included in a table later in the release
under the heading "Non-GAAP Net Income and Earnings Per Share
Reconciliations."

Net sales for the 39 weeks ended November 2, 2013 increased 5.8% from last
year's period to $4.3 billion primarily due to the opening of new stores.
Unshifted consolidated same store sales were flat year-to-date.

Dividend

On November14, 2013, the Company's Board of Directors authorized and declared
a quarterly dividend in the amount of $0.125 per share on the Company's Common
Stock and Class B Common Stock. The dividend is payable in cash on
December27, 2013 to stockholders of record at the close of business on
December6, 2013.

Share Repurchase Program

In the third quarter of 2013, the Company repurchased approximately 0.5
million shares of its common stock at an average cost of $52.09 per share, for
a total cost of $25.0 million.

Current 2013 Outlook

The Company's current outlook for 2013 is based on current expectations and
includes "forward-looking statements" within the meaning of Section27A of the
Securities Act of 1933 and Section21E of the Securities Exchange Act of 1934,
as described later in this release. Although the Company believes that the
expectations and other comments reflected in such forward-looking statements
are reasonable, it can give no assurance that such expectations or comments
will prove to be correct.

  oFourth Quarter 2013
    

       oBased on an estimated 126 million diluted shares outstanding, the
         Company currently anticipates reporting consolidated earnings per
         diluted share of approximately $1.04 to 1.07 in the fourth quarter of
         2013, compared to fourth quarter 2012 consolidated earnings per
         diluted share of $1.03. The 14^th week in fiscal 2012 contributed
         approximately $0.03 to earnings per diluted share.
         
       oConsolidated same store sales adjusted for the shifted calendar, due
         to the 53^rdweek in 2012, are currently expected to increase 3 to 4%
         in the fourth quarter of 2013, or increase 2 to 3% on an unshifted
         basis, as compared to a 1.2% increase in the fourth quarter of 2012.
         

  oFull Year 2013 – (52 Week Year) Comparisons to Fiscal 2012 – (53 Week
    Year)
    

       oBased on an estimated 126 million diluted shares outstanding, the
         Company currently anticipates reporting consolidated non-GAAP
         earnings per diluted share of approximately $2.62 to 2.65, excluding
         an asset impairment charge and the partial recovery of a previously
         impaired asset. For the 53 weeks ended February2, 2013, the Company
         reported consolidated non-GAAP earnings per diluted share of $2.53,
         excluding an impairment charge.The 53^rd week in fiscal 2012
         contributed approximately $0.03 to earnings per diluted share.
         
       oConsolidated same store sales are currently expected to be
         approximately flat to an increase of 1% on a 52-week to 52-week
         comparative basis, compared to a 4.3% increase in fiscal 2012.
         

  oCapital Expenditures
    

       oIn 2013, the Company anticipates capital expenditures to be
         approximately $299 million on a gross basis and approximately $258
         million on a net basis.

Conference Call Info

The Company will host a conference call today at 10:00a.m. Eastern Time to
discuss the third quarter results. Investors will have the opportunity to
listen to the earnings conference call over the internet through the Company's
website located at http://www.DicksSportingGoods.com/Investors. To listen to
the live call, please go to the website at least fifteen minutes early to
register and download and install any necessary audio software.

In addition to the webcast, the call can be accessed by dialing (866) 652-5200
(domestic callers) or (412) 317-6060 (international callers) and requesting
the "DICK'S Sporting Goods Earnings Call."

For those who cannot listen to the live webcast, it will be archived on the
Company's website for approximately 30 days. In addition, a dial-in replay of
the call will be available. To listen to the replay, investors should dial
(877) 344-7529 (domestic callers) or (412) 317-0088 (international callers)
and enter confirmation code 10035658. The dial-in replay will be available for
approximately 30 days following the live call.

Forward-Looking Statements Involving Known and Unknown Risks and Uncertainties

Except for historical information contained herein, the statements in this
release or otherwise made by our management in connection with the subject
matter of this release are forward-looking statements (as such term is defined
in the Private Securities Litigation Reform Act of 1995) and involve risks and
uncertainties and are subject to change based on various important factors,
many of which may be beyond our control. Our future performance and financial
results may differ materially from those included in any such forward-looking
statements and such forward-looking statements should not be relied upon by
investors as a prediction of actual results. You can identify these statements
as those that may predict, forecast, indicate or imply future results,
performance or advancements and by forward-looking words such as "believe",
"anticipate", "expect", "estimate", "predict", "intend", "plan", "project",
"goal", "will", "will be", "will continue", "will result", "could", "may",
"might" or other words with similar meanings. Forward-looking statements
include statements regarding, among other things, our expectations for future
performance, long-term opportunities, the Company's future goals, the amounts
outstanding under the Company's credit facility in future periods and
expectations on capital expenditures.

The following factors, among others, in some cases have affected and in the
future could affect our financial performance and actual results, and could
cause actual results for fiscal 2013 and beyond to differ materially from
those expressed or implied in any forward-looking statements included in this
release or otherwise made by our management: ongoing economic and financial
uncertainties may cause a decline in consumer spending; changes in the general
economic and business conditions and in the specialty retail or sporting goods
industry in particular; competition in the sporting goods industry; changes in
consumer demand; limitations on the availability of attractive store
locations; unauthorized disclosure of sensitive or confidential customer
information; risks relating to our private brand offerings; access to adequate
capital; changing laws and regulations affecting our business including the
regulation of firearms and ammunition; factors affecting our vendors;
litigation risks; foreign trade issues and currency exchange rate
fluctuations; the loss of our key executives, especially Edward W. Stack, our
Chairman and Chief Executive Officer; protection of our intellectual property;
disruptions with our eCommerce services provider or of our information
systems; disruption at our distribution facilities; developments with sports
leagues, professional athletes or sports superstars; weather and seasonality
of our business; regional risks; risks associated with strategic investments
or acquisitions; labor needs; risks associated with being a controlled
company; our anti-takeover provisions; our current intention to issue
quarterly cash dividends; and our share repurchase activity, if any.

Known and unknown risks and uncertainties are more fully described in the
Company's Annual Report on Form10-K for the year ended February 2, 2013 as
filed with the Securities and Exchange Commission ("SEC") on March22, 2013
and in other reports filed with the SEC. In addition, we operate in a highly
competitive and rapidly changing environment; therefore, new risk factors can
arise, and it is not possible for management to predict or assess the impact
of all such risk factors. Forward-looking statements included in this release
are made as of the date of this release. We do not assume any obligation and
do not intend to update any forward-looking statements, whether as a result of
new information, future developments or otherwise, except as may be required
by the securities laws.

About DICK'S Sporting Goods,Inc.

DICK'S Sporting Goods,Inc. is an authentic full-line sports and fitness
specialty omni-channel retailer offering a broad assortment of high quality,
competitively-priced brand name sporting goods equipment, apparel and footwear
in a specialty store environment. The Company also owns and operates Golf
Galaxy, LLC, a golf specialty retailer.

As of November19, 2013, the Company operated 558 DICK'S Sporting Goods stores
in 46 states, 82 Golf Galaxy stores in 30 states and eCommerce websites and
catalog operations for DICK'S Sporting Goods and Golf Galaxy. DICK'S Sporting
Goods,Inc. news releases are available at
http://www.DicksSportingGoods.com/Investors. The Company's website is not part
of this release.

Contact:

Anne-Marie Megela, VP – Treasury Services and Investor Relations or
Scott W. McKinney, Director of Investor Relations
DICK'S Sporting Goods, Inc.
investors@dcsg.com
(724) 273-3400

DICK'S SPORTING GOODS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME - UNAUDITED

(In thousands, except per share data)
                             13 Weeks Ended
                             November2,   % of      October27,   % of
                             2013                    2012
                                           Sales                   Sales ^ (1)
Net sales                    $ 1,400,623   100.00 %  $ 1,312,072   100.00   %
Cost of goods sold,
including occupancy and      975,724       69.66     905,948       69.05

 distribution costs
GROSS PROFIT                 424,899       30.34     406,124       30.95
Selling, general and         333,724       23.83     314,637       23.98
administrative expenses
Pre-opening expenses         12,122        0.87      9,294         0.71
INCOME FROM OPERATIONS       79,053        5.64      82,193        6.26
Interest expense             696           0.05      860           0.07
Other income                 (2,735)       (0.20)    (1,113)       (0.08)
INCOME BEFORE INCOME TAXES   81,092        5.79      82,446        6.28
Provision for income taxes   31,115        2.22      32,307        2.46
NET INCOME                   $ 49,977      3.57   %  $ 50,139      3.82     %
EARNINGS PER COMMON SHARE:
Basic                        $ 0.41                  $ 0.41
Diluted                      $ 0.40                  $ 0.40
WEIGHTED AVERAGE COMMON
SHARES

 OUTSTANDING:
Basic                        123,221                 122,103
Diluted                      125,842                 125,938
Cash dividend declared per   $ 0.125                 $ 0.125
share
^(1)Column does not add due to rounding



DICK'S SPORTING GOODS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME - UNAUDITED

(In thousands, except per share data)
                              39 Weeks Ended
                              November2,   % of        October27,   % of
                              2013                      2012
                                            Sales ^(1)                Sales
Net sales                     $ 4,265,755   100.00  %   $ 4,030,818   100.00 %
Cost of goods sold,
including occupancy and       2,949,872     69.15       2,782,306     69.03

 distribution costs
GROSS PROFIT                  1,315,883     30.85       1,248,512     30.97
Selling, general and          983,382       23.05       921,631       22.86
administrative expenses
Pre-opening expenses          18,736        0.44        14,311        0.36
INCOME FROM OPERATIONS        313,765       7.36        312,570       7.75
Impairment of
available-for-sale            —             —           32,370        0.80
investments
Interest expense              2,081         0.05        5,309         0.13
Other income                  (10,675)      (0.25)      (2,923)       (0.07)
INCOME BEFORE INCOME TAXES    322,359       7.56        277,814       6.89
Provision for income taxes    123,398       2.89        116,855       2.90
NET INCOME                    $ 198,961     4.66    %   $ 160,959     3.99   %
EARNINGS PER COMMON SHARE:
Basic                         $ 1.62                    $ 1.33
Diluted                       $ 1.58                    $ 1.28
WEIGHTED AVERAGE COMMON
SHARES

 OUTSTANDING:
Basic                         122,942                   121,181
Diluted                       125,766                   125,825
Cash dividends declared per   $ 0.375                   $ 0.375
share
^(1)Column does not add due to rounding



DICK'S SPORTING GOODS,  INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS - UNAUDITED

(Dollars in thousands)
                                      November2,   October27,   February2,
                                      2013          2012          2013
ASSETS
CURRENT ASSETS:
Cash and cash equivalents             $ 65,647      $ 294,493     $ 345,214
Accounts receivable, net              81,389        57,212        34,625
Income taxes receivable               34,635        2,779         15,737
Inventories, net                      1,570,034     1,382,684     1,096,186
Prepaid expenses and other current    104,806       35,367        73,838
assets
Deferred income taxes                 48,414        26,755        30,289
Total current assets                  1,904,925     1,799,290     1,595,889
Property and equipment, net           1,059,865     851,302       840,135
Intangible assets, net                98,792        99,033        98,903
Goodwill                              200,594       200,594       200,594
Other assets:
Deferred income taxes                 3,286         8,269         4,382
Other                                 80,433        111,093       147,904
Total other assets                    83,719        119,362       152,286
TOTAL ASSETS                          $ 3,347,895   $ 3,069,581   $ 2,887,807
LIABILITIES AND STOCKHOLDERS'
EQUITY
CURRENT LIABILITIES:
Accounts payable                      $ 738,196     $ 665,608     $ 507,247
Accrued expenses                      316,421       296,232       269,900
Deferred revenue and other            106,847       96,233        146,362
liabilities
Income taxes payable                  —             —             68,746
Current portion of other long-term
debt and leasing                      7,540         8,584         8,513

 obligations
Total current liabilities             1,169,004     1,066,657     1,000,768
LONG-TERM LIABILITIES:
Revolving credit borrowings           116,400       —             —
Other long-term debt and leasing      6,596         14,157        7,762
obligations
Deferred income taxes                 29,160        —             7,413
Deferred revenue and other            328,712       283,835       284,540
liabilities
Total long-term liabilities           480,868       297,992       299,715
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS' EQUITY:
Common stock                          982           977           981
ClassB common stock                  249           250           249
Additional paid-in capital            937,742       855,881       874,236
Retained earnings                     1,064,511     1,047,668     911,704
Accumulated other comprehensive       78            114           112
income
Treasury stock                        (305,539)     (199,958)     (199,958)
Total stockholders' equity            1,698,023     1,704,932     1,587,324
TOTAL LIABILITIES AND STOCKHOLDERS'   $ 3,347,895   $ 3,069,581   $ 2,887,807
EQUITY



DICK'S SPORTING GOODS,  INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS - UNAUDITED

(Dollars in thousands)
                                                      39 Weeks Ended
                                                      November2,  October27,
                                                      2013         2012
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income                                            $  198,961   $  160,959
Adjustments to reconcile net income to net cash
(used in) provided by operating activities:
Depreciation and amortization                         113,437      88,627
Impairment of available-for-sale investments          —            32,370
Deferred income taxes                                 4,718        (10,128)
Stock-based compensation                              20,610       23,643
Excess tax benefit from exercise of stock options     (20,966)     (61,461)
Tax benefit from exercise of stock options            125          4,761
Other non-cash items                                  435          227
Changes in assets and liabilities:
Accounts receivable                                   (28,850)     (17,374)
Inventories                                           (473,848)    (367,687)
Prepaid expenses and other assets                     (9,752)      31,599
Accounts payable                                      209,346      178,700
Accrued expenses                                      3,440        18
Income taxes payable / receivable                     (66,680)     33,260
Deferred construction allowances                      37,125       21,744
Deferred revenue and other liabilities                (45,804)     (35,922)
Net cash (used in) provided by operating activities   (57,703)     83,336
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures                                  (196,862)    (157,448)
Purchase of JJB Sports convertible notes and equity   —            (31,986)
securities
Proceeds from sale of other assets                    11,000       —
Deposits and purchases of other assets                (60,048)     (54,819)
Net cash used in investing activities                 (245,910)    (244,253)
CASH FLOWS FROM FINANCING ACTIVITIES:
Revolving credit borrowings, net                      116,400      —
Payments on other long-term debt and leasing          (2,139)      (138,856)
obligations
Construction allowance receipts                       —            —
Proceeds from exercise of stock options               34,920       71,683
Excess tax benefit from exercise of stock options     20,966       61,461
Minimum tax withholding requirements                  (13,090)     (5,329)
Cash paid for treasury stock                          (105,603)    (198,774)
Cash dividends paid to stockholders                   (48,977)     (45,668)
Increase (decrease) in bank overdraft                 21,603       (23,505)
Net cash provided by (used in) financing activities   24,080       (278,988)
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH      (34)         (4)
EQUIVALENTS
NET DECREASE IN CASH AND CASH EQUIVALENTS             (279,567)    (439,909)
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD        345,214      734,402
CASH AND CASH EQUIVALENTS, END OF PERIOD              $  65,647    $  294,493



Store Count and Square Footage
The stores that opened during the third quarter of 2013 are as follows:
Store                      Market                Concept
Tallahassee, FL            Tallahassee           DICK'S Sporting Goods
Duluth, MN                 Duluth                DICK'S Sporting Goods
Gretna, LA                 New Orleans           DICK'S Sporting Goods
South Plainfield, NJ       New Jersey North      DICK'S Sporting Goods
El Paso, TX                El Paso               DICK'S Sporting Goods
Gainesville, GA            Gainesville           DICK'S Sporting Goods
Athens, GA                 Athens                DICK'S Sporting Goods
Lake Charles, LA           Lake Charles          DICK'S Sporting Goods
Albuquerque, NM            Albuquerque           DICK'S Sporting Goods
Prescott Valley, AZ        Prescott              DICK'S Sporting Goods
Issaquah, WA               Seattle               DICK'S Sporting Goods
Salina, KS                 Salina                DICK'S Sporting Goods
Redding, CA                Redding               DICK'S Sporting Goods
Victorville, CA            Victorville           DICK'S Sporting Goods
Ashland, KY                Huntington            DICK'S Sporting Goods
Kendall, FL                Miami                 DICK'S Sporting Goods
Bowling Green, KY          Bowling Green         DICK'S Sporting Goods
Riverhead, NY              Long Island           DICK'S Sporting Goods
Morganton, NC              Charlotte             DICK'S Sporting Goods
Casper, WY                 Casper                DICK'S Sporting Goods
Batavia, NY                Rochester             DICK'S Sporting Goods
Corpus Christi, TX         Corpus Christi        DICK'S Sporting Goods
Newport, KY                Cincinnati            DICK'S Sporting Goods
Osage Beach, MO            Osage Beach           DICK'S Sporting Goods
Dover, DE                  Dover                 DICK'S Sporting Goods
Henderson, NV              Las Vegas             Golf Galaxy
Cranberry, PA              Pittsburgh            Field & Stream
Crescent Springs, KY       Cincinnati            Field & Stream



The following represents a reconciliation of beginning and ending stores and
square footage for the periods indicated:
Store Count:
              Fiscal 2013                         Fiscal 2012
                                                              Golf
                           Golf Galaxy /                      Galaxy /
              DICK'S                              DICK'S
              Sporting     Specialty       Total  Sporting    Specialty  Total
              Goods        Store                  Goods       Store

                           Concepts ^(1)                      Concepts
                                                              ^(1)
Beginning     518          83              601    480         81         561
stores
Q1 New        2            —               2      6           —          6
stores
Q2 New        7            —               7      4           —          4
stores
Q3 New        25           3               28     21          2          23
stores
Ending        552          86              638    511         83         594
stores
Remodeled     3            —               3      —           —          —
stores
Relocated     1            1               2      4           —          4
stores
Square
Footage:

(in
millions)
                                                              Golf
                                                              Galaxy /
                                                  DICK'S
                                                  Sporting    Specialty  Total
                                                  Goods       Store      ^(2)

                                                              Concepts
                                                              ^(1)
Q1 2012                                           26.5        1.3        27.8
Q2 2012                                           26.7        1.3        28.0
Q3 2012                                           27.9        1.3        29.2
Q4 2012                                           28.2        1.4        29.6
Q1 2013                                           28.3        1.4        29.7
Q2 2013                                           28.7        1.4        30.0
Q3 2013                                           29.9        1.5        31.4
^(1) Includes the Company's Field & Stream and True Runner stores. [ ]
^(2) Column may not add due to rounding.



Non-GAAP Financial Measures
In addition to reporting the Company's financial results in accordance with
generally accepted accounting principles ("GAAP"), the Company provides
information regarding net income and earnings per diluted share adjusted for
certain non-recurring, infrequent or unusual items; earnings before interest,
taxes and depreciation, adjusted to exclude certain significant gains and
losses ("adjusted EBITDA") and a reconciliation from the Company's gross
capital expenditures, net of tenant allowances. These measures are considered
non-GAAP and are not preferable to GAAP financial information; however, the
Company believes this information provides additional measures of performance
that the Company's management, analysts and investors can use to compare core
operating results between reporting periods. These non-GAAP measures are
provided below and on the Company's website at
http://www.dickssportinggoods.com/investors.
Non-GAAP Net Income and Earnings Per Share Reconciliations:

(in thousands, except per share data):
                    Fiscal 2013
                    39 Weeks Ended November 2, 2013
                                      Recovery of     Asset
                    As                                            Non-GAAP
                    Reported          Previously      Impairment  Total

                                      Impaired Asset  Charge
Net sales           $  4,265,755      $   —           $  —        $ 4,265,755
Cost of goods
sold, including
occupancy and       2,949,872         —               —           2,949,872

 distribution
costs
GROSS PROFIT        1,315,883         —               —           1,315,883
Selling, general
and                 983,382           —               (7,881)     975,501
administrative
expenses
Pre-opening         18,736            —               —           18,736
expenses
INCOME FROM         313,765           —               7,881       321,646
OPERATIONS
Interest expense    2,081             —               —           2,081
Other income        (10,675)          4,342           —           (6,333)
INCOME BEFORE       322,359           (4,342)         7,881       325,898
INCOME TAXES
Provision for       123,398           —               3,152       126,550
income taxes
NET INCOME          $  198,961        $   (4,342)     $  4,729    $ 199,348
EARNINGS PER
COMMON SHARE:
Basic               $  1.62                                       $ 1.62
Diluted             $  1.58                                       $ 1.59
WEIGHTED AVERAGE
COMMON SHARES

 OUTSTANDING:
Basic               122,942                                       122,942
Diluted             125,766                                       125,766
During the first quarter of 2013, the Company determined that it would recover
$4.3 million of its investment in JJB Sports, which it had previously fully
impaired. There is no related tax expense as the Company reversed a portion of
the deferred tax valuation allowance it had previously recorded for net
capital loss carryforwards it did not expect to realize at the time its
investment in JJB Sports was fully impaired. During the second quarter of
2013, the Company recorded a pre-tax $7.9 million non-cash impairment charge
to reduce the carrying value of a corporate aircraft held for sale to fair
market value. The provision for income taxes was calculated at 40%, which
approximates the Company's blended tax rate.



                          Fiscal 2012
                          39 Weeks Ended October 27, 2012
                                            Impairment of      Non-GAAP
                          As Reported
                                            Investments        Total
Net sales                 $  4,030,818      $    —             $  4,030,818
Cost of goods sold,
including occupancy and   2,782,306         —                  2,782,306

 distribution costs
GROSS PROFIT              1,248,512         —                  1,248,512
Selling, general and      921,631           —                  921,631
administrative expenses
Pre-opening expenses      14,311            —                  14,311
INCOME FROM OPERATIONS    312,570           —                  312,570
Impairment of
available-for-sale        32,370            (32,370)           —
investments
Interest expense          5,309             —                  5,309
Other income              (2,923)           —                  (2,923)
INCOME BEFORE INCOME      277,814           32,370             310,184
TAXES
Provision for income      116,855           4,734              121,589
taxes
NET INCOME                $  160,959        $    27,636        $  188,595
EARNINGS PER COMMON
SHARE:
Basic                     $  1.33                              $  1.56
Diluted                   $  1.28                              $  1.50
WEIGHTED AVERAGE COMMON
SHARES

 OUTSTANDING:
Basic                     121,181                              121,181
Diluted                   125,825                              125,825
During the second quarter of 2012, the Company fully impaired its investment
in JJB Sports and recorded a pre-tax charge of $32.4 million. The Company
recorded a deferred tax asset valuation allowance of approximately $7.9
million for a portion of the $32.4 million net capital loss carryforward that
it expects not to realize as a result of the impairment of its investment in
JJB Sports.



Adjusted EBITDA
Adjusted EBITDA should not be considered as an alternative to net income or
any other generally accepted accounting principles measure of performance or
liquidity. Adjusted EBITDA, as the Company has calculated it, may not be
comparable to similarly titled measures reported by other companies. Adjusted
EBITDA is a key metric used by the Company that provides a measurement of
profitability that eliminates the effect of changes resulting from financing
decisions, tax regulations and capital investments.
                               13 Weeks Ended
                               November2,               October27,
                               2013                      2012
                               (dollarsinthousands)
Net income                     $     49,977              $     50,139
Provision for income taxes     31,115                    32,307
Interest expense               696                       860
Depreciation and               37,123                    30,527
amortization
EBITDA                         $     118,911             $     113,833
% increase in EBITDA           4                %
                               39 Weeks Ended
                               November2,               October27,
                               2013                      2012
                               (dollarsinthousands)
Net income                     $     198,961             $     160,959
Provision for income taxes     123,398                   116,855
Interest expense               2,081                     5,309
Depreciation and               113,437                   88,627
amortization
EBITDA                         $     437,877             $     371,750
Add: Impairment of
available-for-sale             —                         32,370
investments
Less: Recovery of              (4,342)                   —
previously impaired asset
Adjusted EBITDA, as            $     433,535             $     404,120
defined
% increase in adjusted         7                %
EBITDA



Reconciliation of Gross Capital Expenditures to Net Capital Expenditures
The following table represents a reconciliation of the Company's gross capital
expenditures to its capital expenditures, net of tenant allowances.
                                39 Weeks Ended
                                November2,                 October27,
                                2013                        2012
                                (dollarsinthousands)
Gross capital expenditures      $     (196,862)             $   (157,448)
Proceeds from
sale-leaseback                  —                           —
transactions
Deferred construction           37,125                      21,744
allowances
Construction allowance          —                           —
receipts
Net capital expenditures        $     (159,737)             $   (135,704)



SOURCE DICK'S Sporting Goods, Inc.

Website: http://www.dickssportinggoods.com
 
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