Dick’s Sporting Goods (DKS) hit an earnings home run on Tuesday with a 21% leap in third-quarter profits, prompting the retailer to hike its 2012 guidance.
Wall Street applauded the results and upgraded outlook, sending Dick’s shares climbing about 4%.
The company said it earned $50.1 million, or 40 cents a share, last quarter, compared with a profit of $41.5 million, or 33 cents a share, a year earlier. Analysts had been calling for EPS of 37 cents.
Revenue increased 11% to $1.31 billion, narrowly topping the Street’s view of $1.30 billion.
Same-store sales jumped 5.1% last quarter, including 3.9% at its namesake stores and 2.3% at its Golf Galaxy chain. The company had projected growth of 4%.
“We generated record results in the third quarter, exceeding our original sales and earnings expectations," CEO Edward Stack said in a statement. "By growing our store base, partnering with our brands, aggressively building out our omni-channel capabilities and executing our strategic marketing plan, we are driving continued profitable growth."
Looking ahead, Dick’s projected 2012 non-GAAP EPS of $2.53 to $2.55, up from $2.47 to $2.51 previously. Analysts had been calling for EPS of $2.54. Same-store sales are seen rising about 5%.
For the current quarter, Dick’s sees non-GAAP EPS of $1.03 to $1.05 on same-store sales growth of about 4%. However, even the high end of that new range would trail the Street’s view of $1.07.
Shares of Coraopolis, Pa.-based Dick’s rallied 3.29% to $50.30 in premarket trading, extending their impressive 2012 growth of about 32%.