Dick’s Sporting Goods Inc. raised its profit forecast as strong demand for sports gear overcame concerns of a slowdown in spending ahead of the holiday season.
The retailer now sees profit excluding some items as high as $12.60 a share this year, up from $12.30 previously, according to a statement Tuesday. The new forecast is still much lower than the company’s projections earlier this year before theft decimated results in the second quarter.
In the third quarter ended Oct. 28, both profit and sales exceeded analyst estimates.
Cost-cutting has been a bigger focus for Chief Executive Officer Lauren Hobart in recent months, a shift from her previous strategy of adding stores and square footage during the company’s pandemic-era boom. The company said Tuesday that it’s still conducting a review of operations.
Read More: Dick’s Sporting Goods Lays Off 250 Corporate Employees
The shares rose 9.2% in early trading at 7:18 a.m. in New York. The stock has had a rocky year but it’s still up more than 400% since the end of March 2020.
