Dick’s Sporting Goods defies predictions: Sales, earnings rise despite gun policy

Dick's Sporting Goods defies predictions: Sales, earnings rise despite gun policy

Dick’s Sporting Goods in Vestal, New York. If the gun crowd is avoiding Dick’s Sporting Goods because of its newly enacted corporate policies restricting some sales, it isn’t showing in the bottom line. First-quarter earnings and sales were higher, defying the predictions of gun rights advocates who said the company would lose significant business from its decision to ban sales of assault-style weapons and enacting a policy requiring gun buyers to be at least 21 years old. The company also hired a Washington, D.C., lobbyist to push for a federal assault weapons ban. Based on the results, Dick’s shares surged in early Wednesday trading, up 27% to $38.75 in afternoon trading. Even Chief Executive Ed Stack was unsure in February how the new policies would affect sales, but warned that some buyers could avoid the store for outdoor and other equipment in the wake of its widely publicized action following the school shootings in Parkland, Florida. In comments on an earnings conference call, Stack said benefits outweighed the drawbacks. Indeed, hunting sales declined at the stores, but other shoppers who are supporters of the policy have become customers. "There’s definitely been some benefits from people who have joined us because of the policy," Stack said. More: Dick’s Sporting Goods won’t sell assault weapons after Parkland shooting, says CEO Ed Stack More: Dick’s Sporting Goods CEO Ed Stack: ‘We’re going to be a winner’ Net income in the first quarter was up 3 percent on a 5 percent increase in […]

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