Posted on 03/23/2018 7:30:16 AM PDT by Behind Liberal Lines
Dick’s Sporting Goods has suffered a surprisingly steep downturn in sales since promising to sell fewer guns, but the problem isn’t the gun sales, Fortune says.
Stock tumbled to the lowest in four months after the sports store banned assault-style weapons from its Field & Stream stores and raised the minimum age for a customer to buy a firearm from 18 to 21....
“There’s going to be some pushback and we expected that,” said CEO Edward Stack, in an earnings call with Wall Street analysts, according to CNN. “There are going to be the people who don’t shop us anymore for anything.”
The decision is “not going to be positive from a traffic standpoint and a sales standpoint,” Stack predicted.
The company’s shares fell 7.3 percent after going up 13 percent this year. Sales failed to hit the projected $2.74 billion, tapering off at $2.66 billion for this quarter.
(Excerpt) Read more at nationalreview.com ...
Does the CEO of this multi-billion dollar company understand the purpose of a business?
Perhaps he’s better suited working for a not-for-profit.
—
Dicks just became a not-for-profit ...
“The problem is the CEO likely has not money stake in the company. He gets paid as an employee. Very different when it is your money at stake.”
Au Contrare! This guy is Dick’s ( the guy who founded the business’) son. He is a “legacy CEO.” But if it is now not privately owned, he can be kicked out by the BOD! The question is, does this guy have controlling interest?
SOME PUSHBACK?
What is the threshold for him to realize that he is skidding down a slope they might not recover from? Maybe Cabela’s can buy out their stores at 10 cents on the dollar.
Edward Stack makes only $1 million salary of his $11+ million compensation. Most is stock and options, like most companies.
” Okay. That’s the downside. And what, exactly, is the Upside?? “
Why the all important virtue signaling of course! Amazing that what we see as a major mistake, they see as more important than actually staying in business.
Dicks is a publicly traded company. I hope the stockholders realize how their management is making poor business decisions for political reasons, and makes their displeasure known at the next meeting.
You know, that actually sounds like an actionably admission.
If I was a stockholder, and the CEO publicly said they they took action they KNEW would hurt their customer base, I’d want to sue them for not doing their job.
Thanks! I didn’t look it up. So the idiot son is going to destroy his dad’s business?
Aside from the meaningless virtue signaling, I see no benefit to this. He just CHOSE to lose money for the stockholders.
It does seem like an abrogation of fiduciary responsibility.
Dick’s sales are limp...hope it falls off.
Looks like Dick’s need Viagra to raise things
So his father was a Dick?
“So the idiot son is going to destroy his dad’s business?”
It’s the “golden spoon” in action. The guy has always had money, and he probably doesn’t really make the connection between his politics and his duty to his stockholders. And probably his father, Dick, was a decent guy who worked his ass off to build a business that his son is now content to pi$$ away.
From my card, they can check and see that I spent about $5-600 a year, so while not their biggest customer, I was a steady customer.
Some hunting gear but mostly golf equipment.
Well, it is apparent that they don't care about my couple of hundred bucks a year, so piss on them.
There are many sporting goods stores, so I won't miss them.
“So his father was a Dick? “
No, his father WAS DICK! He IS A DICK!
I saw one of these mall marquees where they list the stores there, it said from top to bottom:
KOHL’S
STAPLES
DICK’S
What a ridiculous company with idiotic management. There is NOTHING unique about Dicks that you can’t get anywhere else. There was no reason to alienate half the country.
All for ripping DSG for their moral preeening in guns but this sales drop has nothing to do with it. Yet. 5is is just another example of the Retail Apocalypse. The gun issue will affect them but not in these numbers.
Dick dicks UP!
Most of my "outdoors" stuff I get from sportsmansguide.com, or cheaperthandirt.com. I've never bought anything from Dicks.
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