Dick’s Sporting Goods (DKS) has raised its dividend by 10% as the company reported the biggest quarterly sales in its history.
Dick’s said that it will now pay a quarterly dividend of $1.10 U.S. per share, up 10% from $1 previously.
News of the dividend increase comes as the sports equipment retailer announced earnings per share (EPS) of $3.85 U.S. versus $3.35 U.S. that was expected on Wall Street.
Revenue in the fourth and final quarter of 2023 reached a record $3.88 billion U.S., which was ahead of the $3.80 billion U.S. forecast among analysts. Sales were up 8% from a year earlier.
Same store sales rose 2.8%, well above the 0.8% that analysts had expected.
In terms of guidance, management said that Dick’s should earn $12.85 U.S. to $13.25 U.S. per share for all of this year.
Revenue for 2024 is forecast to be between $13 billion U.S. and $13.13 billion U.S. The guidance is in line with Wall Street estimates, according to data from LSEG.
The company also said that it anticipates same store sales growth of 1% to 2% in 2024.
Dick’s Sporting Goods stock is up 5% on news of the dividend increase and earnings print.
Prior to today (March 14), Dick’s share price had increased 26% over the last 12 months and was trading at $187.76 U.S. per share.
