Dick's Sporting Goods cuts annual forecasts as athleticwear demand weakens

Aug 25 (Reuters) - Dick's ‌Sporting Goods ​cut ​its full-year sales and profit forecasts on Tuesday, as pressured ‌discretionary spending amid a cautious consumer environment ⁠weighed on demand for sporting goods and ‌athletic apparel, sending its ‌shares down 13% in premarket trading.

The company now expects annual sales of $21.9 billion ​to 22.2 billion, compared with its earlier forecast of $22.1 billion to $22.4 billion.

"Not ⁠only were there fewer launches in the second quarter, but ​those launches performed below both industry and our expectations," said Ed Stack, ​the company's executive chairman.

"As ‌a result, we are taking a more cautious view of ⁠the balance of the year," Stack added.

Consumers remain selective with discretionary spending amid inflationary ⁠pressures and economic uncertainty, posing risks to demand for ​sporting goods and athletic apparel.

A slowdown in consumer spending and a weakening job market have been ‌weighing on demand for higher-priced athletic gear and outdoor equipment.

The ‌company now expects annual earnings per share ⁠of $10.94 to $11.94, compared ‌with its earlier ​forecast of $13.27 to $14.27.

(Reporting by Angela Christy in Bengaluru; Editing by Maju ‌Samuel)

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