Ed Stack celebrates the opening of the Dick & # 39; s Distribution Center in Conklin on January 25, 2018.
Jeff Platsky / Staff Video
When the gun crowd dicks out of sporting goods its newly passed company policies restrict some sales , do not show it in the end result.
First quarter revenue and sales were higher, defying the predictions of gun rights advocates who said the company would lose significant business from its decision prohibiting the sale of offensive weapons and enacting a directive requiring gun buyers to be at least 21 years old , The company also hired a lobbyist from Washington, DC to press for a ban on federal attack weapons.
Dicks deprives the National Rifle Association.
The National Legislative Institute's legislative initiative specifically criticized Dick's moves, particularly the hiring of lobbyists
"It is quite possible that the chain realized that they were gaining their image in the pro-freedom community, especially at outdoor Activities, irrevocably damaged, "wrote earlier this month on its website. It also states: "Dick's new lobbying project is designed to fully support anti-gun advocacy at all levels and by all means necessary."
Based on the results, Wednesday's share price rose 27% to $ 38.75
Even Chief Executive Ed Stack was uncertain in February about how the new policies would affect sales, but warned that some Buyers may shun the outdoor and other equipment business as part of its widely publicized campaign following the school shootings in Parkland, Florida.
In the comments to a conference call, Stack said the benefits outweigh the disadvantages. In fact, hunting sales went down in stores, but other buyers who are advocates of politics became customers.
"There are definitely some benefits to people who came to us because of politics," said Stack. The result in the first quarter has increased by 3 percent, with a sales increase of 5 percent, the company said on Wednesday.
"Our strong first quarter performance reflects the improved execution of our merchandising strategy, which leads to higher margins," Stack said in a prepared release. "Product novelty, strength in our own brands, and a more refined assortment have resulted in a much healthier business, with fewer promotions and cleaner inventory throughout the quarter." More: With "Civil Courage," Starbucks workers participate in emotional training to avoid racial bias
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Better Results Come When Other Dicks Predicted A single store on the East Side of Binghamton in 1948 would continue to suffer from pressure from online retailer Amazon.
The company said online sales increased 24 percent in the first quarter, as the online strategy was recently adjusted -housing after shipping this segment to a third party for several years. In the first quarter, online sales accounted for 11 percent of total sales, especially footwear and apparel, up from 9 percent a year ago.
Net income for the first quarter was $ 60.1 million, up 59 cents per share on revenues of $ 1.9, compared to a net profit of $ 58.2 million, or 52 cents per share sales of $ 1.8 billion in the same period a year ago.
Same-store sales – Sales in stores open for more than a year and a key measure of retail health – fell 2.5% over the same period a year ago.
The results exceeded Wall Street expectations. The average estimate of 12 analysts surveyed by Zacks Investment Research was a profit of 42 cents per share.
The company opened eight new stores in the first quarter, while no new store was opened in the fourth quarter and 25 new stores were opened in the first quarter of 2017. The Pittsburgh-based company was now 724 stores under the Dicks and 129 stores operating under the Field & Stream and Golf Galaxies brands with total sales space of 42.1 million square feet.
The Associated Press has contributed to this story.
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