Dick's has nearly 50% more inventory than a year ago, CEO Lauren Hobart describes it as being “healthy and well-positioned with improved in-stock levels in key categories.”

Dick’s Sporting Goods now has more than 25 million active loyalty members for its ScoreCard program, CEO Lauren Hobart said. 

During the second quarter that ended July 30, 2022, Hobart said, ScoreCard members generated more than 70% of total sales. That’s up approximately 2 percentage points from the same period last year. 

Dick’s Sporting Goods stores enabled more than 90% of total sales in its fiscal second quarter. Hobart said the company’s omnichannel platform, which features stores as a hub, is an important competitive advantage. Dick’s Sporting Goods stores also enabled 90% of total sales in Q1 2022 and in Q4 2021, and every fiscal quarter since Q3 2020

This comes as the company reported $3.11 billion in second-quarter net sales. That’s a 5.1% decrease from $3.27 billion in the year-ago quarter. It’s also a 38% increase compared with Q2 2019. The retailer did not report online sales figures.

Net sales for the fiscal year’s first half reached $5.81 billion. That’s down 6.6% from $6.19 billion in the first half of Dick’s Sporting Goods fiscal 2021.

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Dick’s Sporting Goods ranks No. 37 in the Top 1000, Digital Commerce 360’s database of North American e-retailers sorted by web sales.

Industry inventory issues

Hobart described inventory as “healthy and well-positioned with improved in-stock levels in key categories.”

Navdeep Gupta, chief financial officer at Dick’s, said: “Quarter-end inventory levels increased 49% compared to Q2 of last year. However, we were chasing inventory last year amid significant supply chain disruptions. A better comparison is against Q2 of 2019, where our 40% increase in inventory was relatively in line with our 38% increase in sales.”

That 49% increase is to $2.996 billion in Q2 2022 inventories from $2.011 billion in Q2 2021.

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Similar to other retailers in the quarter, Gupta said transactions declined 8.4% while the average ticket increased 3.3%. Retailers like Walmart (No. 2), Target (No. 5), Macy’s (No. 16), Nordstrom (No. 20) and Kohl’s (No. 21) reported decreased transactions in the quarter as inflation limited consumer spending. 

For the fiscal second quarter ended July 30, 2022, Dick’s Sporting Goods reported:

  • $3.11 billion in net sales. That’s a 5.1% decrease from $3.27 billion in the year-ago quarter. It’s also a 38% increase compared with Q2 2019. 
  • Dick’s Sporting Goods stores enabled more than 90% of total sales in the quarter and for the previous two fiscal quarters.
  • Inventories increased to $2.996 billion. That’s 49% more than the $2.011 billion in inventories in Q2 2021.
  • Transactions declined 8.4% while the average ticket increased 3.3%

For the fiscal six months ended July 30, 2022, Dick’s Sporting Goods reported:

  • Net sales reached $5.81 billion. That’s down 6.6% from $6.19 billion in the first half of Dick’s Sporting Goods fiscal 2021.

Percentage changes may not align exactly with dollar figures due to rounding.

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