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Dick's Sporting Beats Views

Fourth-quarter earnings top both its forecast and Wall Street's target.

Dick's Sporting Goods

(DKS) - Get Dick's Sporting Goods, Inc. Report

had a winning fourth quarter, with earnings for the period topping both analysts' forecast and its own projections.

The retailer earned $67.7 million, or $1.20 a share, up from $54 million, or $1 a share, a year earlier. Revenue increased 21% to $1.03 billion, while same-store sales rose 2%.

Analysts polled by Thomson Financial projected earnings of $1.15 a share on $997.2 million in revenue. In November, the company forecast earnings of $1.13 to $1.16 a share.

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"The fourth quarter was our first billion dollar sales quarter, a special milestone. More importantly, we executed well through our most important quarter, delivering earnings in excess of our guidance," Edward W. Stack, chairman and CEO, said in a statement.

Shares of Dick's were up $2.18, or 4.1%, or $56.07 in recent trading. Earlier in the session, the stock reached a high of $56.43, surpassing the 52-week high of $56.29 set Nov. 20.

For the first quarter, Dick's first-quarter earnings of 35 cents to 38 cents a share, well above Wall Street's expectation for a profit of 28 cents a share. First-quarter same-store sales are expected to increase 4% to 6% at Dick's Sporting Goods stores.

Looking ahead, the company anticipates full-year earnings of $2.37 to $2.40 a share. Analysts project a profit of $2.40 a share.

The company said it expects to open 45 new Dick's stores and 17 new Golf Galaxy stores in 2007.

Dick's completed its acquisition of Golf Galaxy and its 65 stores last month. Prior to the acquisition, Dick's operated 294 stores in 34 states.