Record DICK'S Business Sales and Comps
DICK'S business delivered record full-year sales of $14.1B; full-year comparable sales increased 4.5% and Q4 comps increased 3.1% (two-year comp ~9.7%, three-year comp 12.3%).
DICK'S Profitability and EPS Growth
DICK'S non-GAAP operating margin of ~11.12% for the year and 11.0% in Q4; DICK'S non-GAAP EPS $14.58 for full year (up 3.8% YoY) and Q4 non-GAAP EPS $4.05 (up 11.9% YoY).
Consolidated Revenue Growth Driven by Acquisition
Consolidated net sales increased 28.1% to $17.22B for the year and consolidated Q4 net sales increased 59.9% to $6.23B, driven by a partial-year contribution of Foot Locker (~$3.11B for the year; ~$2.18B in Q4).
Foot Locker Fast Break Pilot Showing Strong Early Results
Fast Break stores produced very strong positive comps and meaningful gross margin improvement in Q4; pilot expanded from 11 to 21 stores and management plans to scale ~250 Fast Break stores by back-to-school 2026.
Inventory Cleanup Completed for Foot Locker
Management reports the inventory 'clean out the garage' initiative is essentially complete, improving assortment productivity (removal of ~30% unproductive shoe-wall SKUs) and positioning Foot Locker inventory for margin recovery.
2026 Guidance Reflects Confidence
Guidance for 2026: consolidated non-GAAP EPS $13.50–$14.50; consolidated non-GAAP operating income $1.68B–$1.81B; DICK'S comp guidance 2%–4% (midpoint implies a 7.5% two-year stack); Foot Locker pro forma comps 1%–3% and operating income $100M–$150M.
Strategic Store Concepts and Expansion
House of Sport and Fieldhouse concepts continued to scale: ended 2025 with 35 House of Sport and 42 Fieldhouse locations; plan to open ~14 House of Sport and ~22 Fieldhouse locations in 2026 (plus additional development for 2027).
Digital Assets and New Revenue Streams
GameChanger showing strong growth (cited nearly 40% CAGR) and profitability; DICK'S Media Network (DMN) leveraging GameChanger for unique live-sports ad inventory and attribution capabilities.