Shares of Dick’s
Sporting Goods beat Wall Street expectations on its top and bottom lines in its 2018 Q4 earnings report on Tuesday, but shares sank more than 10% on a decline in same-store-sales and disappointing guidance for 2019.
And Dick’s is ditching two key parties in 2019: hunting and Reebok.
Removing hunting items from 125 stores
Last year, Dick’s removed hunting items from 10 stores where it underperformed. After the removal, those stores generated positive comp sales in Q4. “Following this success,” Dick’s CEO Ed Stack said on the Q4 earnings call, “we will remove Hunt from approximately 125 additional
Dick's stores in 2019 where the category underperforms.”
Dick’s defines the hunting category as rifles and ammunition, plus “accessories associated with firearms, hunting apparel, anything associated with hunting,” Dick’s president Lauren Hobart clarified later on the call. “It would not include kayaks and other outdoor activities like that.”