10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the Quarterly Period Ended July 30, 2022

OR

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from                     to                    .

Commission File No. 001-31463

 DICK’S SPORTING GOODS, INC.

(Exact name of registrant as specified in its charter)

Delaware	16-1241537
(State or Other Jurisdiction of	(I.R.S. Employer
Incorporation or Organization)	Identification No.)

345 Court Street, Coraopolis, PA 15108

(Address of Principal Executive Offices)

(724) 273-3400

(Registrant’s Telephone Number, including Area Code)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of Each Exchange on which Registered
Common Stock, $0.01 par value	DKS	The New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Yes þ No o

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).

Yes þ No o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer ☑ Accelerated filer ☐ Non-accelerated filer ☐ Smaller reporting company ☐ Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐ 

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Yes ☐ No ☑

As of August 19, 2022, DICK’S Sporting Goods, Inc. had 55,603,316 shares of common stock, par value $0.01 per share, and 23,595,633 shares of Class B common stock, par value $0.01 per share, outstanding.

1

INDEX TO FORM 10-Q

	Page Number
PART I. FINANCIAL INFORMATION	3
Item 1. Financial Statements	3
Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations	15
Item 3. Quantitative and Qualitative Disclosures About Market Risk	24
Item 4. Controls and Procedures	25
PART II. OTHER INFORMATION	26
Item 1. Legal Proceedings	26
Item 1A. Risk Factors	26
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds	26
Item 6. Exhibits	28
INDEX TO EXHIBITS	28
SIGNATURES	30

2

PART I.  FINANCIAL INFORMATION

ITEM 1.  FINANCIAL STATEMENTS 

DICK’S SPORTING GOODS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME

(in thousands, except per share data)

(Unaudited)

	13 Weeks Ended				26 Weeks Ended
	July 30, 2022		July 31, 2021		July 30, 2022		July 31, 2021
Net sales	$	3,112,419	$	3,274,842	$	5,812,624	$	6,193,561
Cost of goods sold, including occupancy and distribution costs	1,991,037		1,967,765		3,706,528		3,797,857
GROSS PROFIT	1,121,382		1,307,077		2,106,096		2,395,704
Selling, general and administrative expenses	657,368		640,268		1,272,661		1,248,562
Pre-opening expenses	3,836		3,256		6,736		7,780
INCOME FROM OPERATIONS	460,178		663,553		826,699		1,139,362
Interest expense	25,494		13,801		51,136		27,183
Other expense (income)	7,363		(6,795)		16,385		(14,146)
INCOME BEFORE INCOME TAXES	427,321		656,547		759,178		1,126,325
Provision for income taxes	108,819		161,038		180,117		269,060
NET INCOME	$	318,502	$	495,509	$	579,061	$	857,265
EARNINGS PER COMMON SHARE:
Basic	$	4.21	$	5.86	$	7.63	$	10.13
Diluted	$	3.25	$	4.53	$	5.70	$	7.96
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING:
Basic	75,610		84,512		75,895		84,631
Diluted	100,389		109,271		104,509		107,641

See accompanying notes to unaudited consolidated financial statements.

3

DICK’S SPORTING GOODS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(in thousands)

(Unaudited)

	13 Weeks Ended				26 Weeks Ended
	July 30, 2022		July 31, 2021		July 30, 2022		July 31, 2021
NET INCOME	$	318,502	$	495,509	$	579,061	$	857,265
OTHER COMPREHENSIVE INCOME (LOSS):
Foreign currency translation adjustment, net of tax	4		(21)		(3)		43
TOTAL OTHER COMPREHENSIVE INCOME (LOSS)	4		(21)		(3)		43
COMPREHENSIVE INCOME	$	318,506	$	495,488	$	579,058	$	857,308

See accompanying notes to unaudited consolidated financial statements.

4

DICK’S SPORTING GOODS, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(in thousands) 

(Unaudited)

	July 30, 2022		January 29, 2022		July 31, 2021
ASSETS
CURRENT ASSETS:
Cash and cash equivalents	$	1,895,521	$	2,643,205	$	2,236,733
Accounts receivable, net	83,151		68,263		88,725
Income taxes receivable	1,277		1,978		700
Inventories, net	2,995,963		2,297,609		2,011,020
Prepaid expenses and other current assets	100,761		95,601		81,758
Total current assets	5,076,673		5,106,656		4,418,936
Property and equipment, net	1,321,737		1,319,681		1,323,174
Operating lease assets	2,071,084		2,044,819		2,083,010
Intangible assets, net	85,553		86,767		88,157
Goodwill	245,857		245,857		245,857
Deferred income taxes	55,873		35,024		34,672
Other assets	208,498		202,872		192,358
TOTAL ASSETS	$	9,065,275	$	9,041,676	$	8,386,164
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable	$	1,489,321	$	1,281,322	$	1,213,449
Accrued expenses	503,759		620,143		564,400
Operating lease liabilities	482,195		480,318		468,667
Income taxes payable	12,673		13,464		83,645
Deferred revenue and other liabilities	294,003		317,433		237,143
Total current liabilities	2,781,951		2,712,680		2,567,304
LONG-TERM LIABILITIES:
Revolving credit borrowings	—		—		—
Senior notes due 2032 and 2052	1,481,886		1,481,443		—
Convertible senior notes due 2025	368,478		449,287		433,456
Long-term operating lease liabilities	2,096,410		2,099,146		2,173,897
Other long-term liabilities	163,041		197,534		206,132
Total long-term liabilities	4,109,815		4,227,410		2,813,485
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS' EQUITY:
Common stock	522		520		605
Class B common stock	236		236		237
Additional paid-in capital	1,384,949		1,488,834		1,468,217
Retained earnings	4,493,516		3,956,602		3,857,257
Accumulated other comprehensive loss	(85)		(82)		(6)
Treasury stock, at cost	(3,705,629)		(3,344,524)		(2,320,935)
Total stockholders' equity	2,173,509		2,101,586		3,005,375
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$	9,065,275	$	9,041,676	$	8,386,164

See accompanying notes to unaudited consolidated financial statements.

5

DICK’S SPORTING GOODS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY

(in thousands)

(Unaudited)

											Accumulated
				Class B			Additional				Other
	Common Stock			Common Stock			Paid-In		Retained		Comprehensive		Treasury
	Shares	Dollars		Shares	Dollars		Capital		Earnings		Loss		Stock		Total
BALANCE, January 29, 2022	51,989	$	520	23,621	$	236	$	1,488,834	$	3,956,602	$	(82)	$	(3,344,524)	$	2,101,586
Adjustment for cumulative effect from change in accounting principle (ASU 2020-06)	—	—		—	—		(118,961)		34,232		—		—		(84,729)
Exchange of convertible senior notes due 2025 and partial unwind of convertible bond hedge and warrants	1,833	18		—	—		3,793		—		—		—		3,811
Exercise of stock options	389	4		—	—		12,661		—		—		—		12,665
Restricted stock vested	933	9		—	—		(9)		—		—		—		—
Minimum tax withholding requirements	(332)	(3)		—	—		(33,284)		—		—		—		(33,287)
Net income	—	—		—	—		—		260,559		—		—		260,559
Stock-based compensation	—	—		—	—		15,177		—		—		—		15,177
Foreign currency translation adjustment, net of taxes of $2	—	—		—	—		—		—		(7)		—		(7)
Purchase of shares for treasury	(417)	(4)		—	—		—		—		—		(42,223)		(42,227)
Cash dividend declared, $0.4875 per common share	—	—		—	—		—		(38,942)		—		—		(38,942)
BALANCE, April 30, 2022	54,395	$	544	23,621	$	236	$	1,368,211	$	4,212,451	$	(89)	$	(3,386,747)	$	2,194,606
Exchange of convertible senior notes due 2025 and partial unwind of convertible bond hedge and warrants	1,675	17		—	—		5,750		—		—		—		5,767
Exercise of stock options	52	1		—	—		1,331		—		—		—		1,332
Restricted stock vested	47	—		—	—		—		—		—		—		—
Minimum tax withholding requirements	(13)	—		—	—		(1,860)		—		—		—		(1,860)
Net income	—	—		—	—		—		318,502		—		—		318,502
Stock-based compensation	—	—		—	—		11,517		—		—		—		11,517
Foreign currency translation adjustment, net of taxes of ($1)	—	—		—	—		—		—		4		—		4
Purchase of shares for treasury	(3,945)	(40)		—	—		—		—		—		(318,882)		(318,922)
Cash dividend declared, $0.4875 per common share	—	—		—	—		—		(37,437)		—		—		(37,437)
BALANCE, July 30, 2022	52,211	$	522	23,621	$	236	$	1,384,949	$	4,493,516	$	(85)	$	(3,705,629)	$	2,173,509

See accompanying notes to unaudited consolidated financial statements.

6

DICK’S SPORTING GOODS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY (Continued)

(in thousands)

(Unaudited)

											Accumulated
				Class B			Additional				Other
	Common Stock			Common Stock			Paid-In		Retained		Comprehensive		Treasury
	Shares	Dollars		Shares	Dollars		Capital		Earnings		(Loss) Income		Stock		Total
BALANCE, January 30, 2021	61,195	$	612	23,736	$	237	$	1,442,298	$	3,064,702	$	(49)	$	(2,168,266)	$	2,339,534
Exercise of stock options	297	3		—	—		12,330		—		—		—		12,333
Restricted stock vested	791	8		—	—		(8)		—		—		—		—
Minimum tax withholding requirements	(237)	(3)		—	—		(18,598)		—		—		—		(18,601)
Net income	—	—		—	—		—		361,756		—		—		361,756
Stock-based compensation	—	—		—	—		12,870		—		—		—		12,870
Foreign currency translation adjustment, net of taxes of ($20)	—	—		—	—		—		—		64		—		64
Purchase of shares for treasury	(1,030)	(10)		—	—		—		—		—		(76,831)		(76,841)
Cash dividend declared, $0.3625 per common share	—	—		—	—		—		(32,391)		—		—		(32,391)
BALANCE, May 1, 2021	61,016	$	610	23,736	$	237	$	1,448,892	$	3,394,067	$	15	$	(2,245,097)	$	2,598,724
Exchange of Class B common stock for common stock	40	—		(40)	—		—		—		—		—		—
Exercise of stock options	189	2		—	—		8,313		—		—		—		8,315
Restricted stock vested	31	1		—	—		(1)		—		—		—		—
Minimum tax withholding requirements	(10)	—		—	—		(1,531)		—		—		—		(1,531)
Net income	—	—		—	—		—		495,509		—		—		495,509
Stock-based compensation	—	—		—	—		12,544		—		—		—		12,544
Foreign currency translation adjustment, net of taxes of $6	—	—		—	—		—		—		(21)		—		(21)
Purchase of shares for treasury	(808)	(8)		—	—		—		—		—		(75,838)		(75,846)
Cash dividend declared, $0.3625 per common share	—	—		—	—		—		(32,319)		—		—		(32,319)
BALANCE, July 31, 2021	60,458	$	605	23,696	$	237	$	1,468,217	$	3,857,257	$	(6)	$	(2,320,935)	$	3,005,375

See accompanying notes to unaudited consolidated financial statements.

7

DICK’S SPORTING GOODS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(in thousands)

(Unaudited)

	26 Weeks Ended
	July 30, 2022		July 31, 2021
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$	579,061	$	857,265
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	164,269		158,009
Amortization of deferred financing fees and debt discount	2,601		14,963
Deferred income taxes	8,416		16,803
Stock-based compensation	26,694		25,414
Other, net	6,852		—
Changes in assets and liabilities:
Accounts receivable	(28,971)		(22,754)
Inventories	(698,354)		(57,452)
Prepaid expenses and other assets	(9,430)		1,559
Accounts payable	189,082		13,578
Accrued expenses	(90,127)		35,853
Income taxes payable / receivable	877		48,344
Construction allowances provided by landlords	29,273		18,344
Deferred revenue and other liabilities	(35,280)		(24,563)
Operating lease assets and liabilities	(43,219)		(54,582)
Net cash provided by operating activities	101,744		1,030,781
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures	(167,693)		(167,689)
Proceeds from sale of other assets	14,261		9,671
Deposits and other investing activities	(17,580)		(19,130)
Net cash used in investing activities	(171,012)		(177,148)
CASH FLOWS FROM FINANCING ACTIVITIES:
Principal paid in connection with exchange of convertible senior notes due 2025	(200,000)		—
Payments on other long-term debt and finance lease obligations	(361)		(385)
Proceeds from exercise of stock options	13,997		20,648
Minimum tax withholding requirements	(35,147)		(20,132)
Cash paid for treasury stock	(392,882)		(152,687)
Cash dividends paid to stockholders	(82,937)		(64,232)
Increase (decrease) in bank overdraft	18,917		(58,222)
Net cash used in financing activities	(678,413)		(275,010)
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS	(3)		43
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS	(747,684)		578,666
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD	2,643,205		1,658,067
CASH AND CASH EQUIVALENTS, END OF PERIOD	$	1,895,521	$	2,236,733
Supplemental disclosure of cash flow information:
Accrued property and equipment	$	40,955	$	37,468
Cash paid for interest	$	38,406	$	11,487
Cash paid for income taxes	$	172,212	$	210,168

See accompanying notes to unaudited consolidated financial statements.

8

DICK’S SPORTING GOODS, INC. AND SUBSIDIARIES

NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

1. Description of Business and Basis of Presentation

DICK’S Sporting Goods, Inc. (together with its subsidiaries, referred to as “the Company”, “we”, “us” and “our” unless specified otherwise) is a leading omni-channel sporting goods retailer offering an extensive assortment of authentic, high-quality sports equipment, apparel, footwear and accessories through a blend of dedicated teammates, in-store services and unique specialty shop-in-shops. In addition to DICK’S Sporting Goods stores, the Company also owns and operates Golf Galaxy, Field & Stream, Public Lands and Going Going Gone! specialty concept stores, and offers its products both online and through its mobile apps. The Company also owns and operates DICK’S House of Sport and Golf Galaxy Performance Center, as well as GameChanger, a youth sports mobile app for scheduling, communications, live scorekeeping, and video streaming. When used in this Quarterly Report on Form 10-Q, unless the context otherwise requires or otherwise specifies, any reference to a “year” is to the Company’s fiscal year.

Basis of Presentation and Use of Estimates

The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with the requirements for Quarterly Reports on Form 10-Q and do not include all the disclosures normally required in annual consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The interim consolidated financial statements are unaudited and have been prepared on the same basis as the annual audited consolidated financial statements. In the opinion of management, such unaudited consolidated financial statements include all adjustments (consisting only of normal recurring adjustments) necessary for a fair presentation of the interim financial information. 

The unaudited interim financial information should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended January 29, 2022 as filed with the Securities and Exchange Commission on March 23, 2022. Operating results for the 13 and 26 weeks ended July 30, 2022 are not necessarily indicative of the results that may be expected for the fiscal year ending January 28, 2023 or any other period.

Recently Adopted Accounting Pronouncement

Convertible Instruments

In August 2020, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2020-06, “Debt - Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging - Contracts in Entity’s Own Equity (Subtopic 815-40),” which removes the separation models for convertible debt with cash conversion or beneficial conversion features. ASU 2020-06 also requires the application of the if-converted method for calculating earnings per diluted share, under which the Company must assume that any conversion of its convertible senior notes due 2025 (the “Convertible Senior Notes”) will be satisfied entirely in common stock.

The Company adopted ASU 2020-06 on the first day of fiscal 2022 using the modified retrospective approach, which resulted in the following adjustments to the Consolidated Balance Sheet (in millions):

	Last Day of Fiscal 2021		Adoption of ASU 2020-06		First Day of Fiscal 2022
Balance sheet line item
Convertible senior notes due 2025	$	449.3	$	114.0	$	563.3
Net deferred tax assets	$	35.0	$	29.3	$	64.3
Additional paid-in capital	$	1,488.8	$	(119.0)	$	1,369.8
Retained earnings	$	3,956.6	$	34.2	$	3,990.8

Following the adoption of ASU 2020-06, the embedded conversion feature of the Convertible Senior Notes is no longer separately presented within stockholders’ equity, eliminating the non-cash debt discount. Accordingly, the Company’s effective interest rate on the Convertible Senior Notes decreased from 11.6% to 3.9% upon adoption, resulting in a $13.2 million reduction in non-cash interest expense for the 26 weeks ended July 30, 2022 as compared to the same prior year period. The Company anticipates that fiscal 2022 earnings will not include $27.4 million of pre-tax non-cash interest expense that was incurred in fiscal 2021 as a result of the adoption of ASU 2020-06.

9

DICK’S SPORTING GOODS, INC. AND SUBSIDIARIES
NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

Despite the Company’s intention to settle the principal amount of the Convertible Senior Notes in cash, the application of the if-converted method requires earnings per diluted share to reflect the assumed share conversion of the Convertible Senior Notes, which was 11.6 million dilutive shares as of July 30, 2022. The Company used the treasury stock method prior to adoption of ASU 2020-06. The impact of adoption was not material to earnings per diluted share.

Recently Issued Accounting Pronouncement

Reference Rate Reform

In March 2020, the FASB issued ASU 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” The update provides optional guidance for a limited period of time to ease potential accounting impacts associated with transitioning away from reference rates that are expected to be discontinued, such as the London Interbank Offered Rate (“LIBOR”). The amendments in this ASU can be applied anytime between the first quarter of fiscal 2020 and the fourth quarter of fiscal 2022 and apply only to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued. The Company’s primary association with LIBOR was through interest rates applicable to loans under its former revolving credit facility, which was terminated in January 2022 and replaced with a new revolving credit facility that uses an adjusted secured overnight financing rate (“SOFR”). Accordingly, the impact of ASU 2020-04 on the Company's financial statements and related disclosures is not expected to be significant.

2. Earnings Per Common Share

Basic earnings per common share is computed based on the weighted average number of shares of common stock outstanding during the period. Diluted earnings per common share is computed based on the weighted average number of shares of common stock outstanding, plus the effect of dilutive potential common shares, which include shares the Company could be obligated to issue from its Convertible Senior Notes and warrants, and stock-based awards, such as stock options and restricted stock. Dilutive potential common shares are excluded from the computation of earnings per share if their effect is anti-dilutive.

For both periods presented, dilutive potential common shares for the Company’s stock-based awards and warrants were determined using the treasury stock method. For the 13 and 26 weeks ended July 31, 2021, the dilutive effect of the Convertible Senior Notes was calculated using the treasury stock method; however, upon the adoption of ASU 2020-06, the Company was required to calculate diluted earnings per common share using the if-converted method, which was applied to the 13 and 26 weeks ended July 30, 2022. See Note 1 – Description of Business and Basis of Presentation for further discussion.

10

DICK’S SPORTING GOODS, INC. AND SUBSIDIARIES
NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

The computations for basic and diluted earnings per common share were as follows for the periods presented (in thousands, except per share data):

	13 Weeks Ended				26 Weeks Ended
	July 30, 2022		July 31, 2021		July 30, 2022		July 31, 2021
Numerator:
Numerator for basic earnings per common share - Net income	$	318,502	$	495,509	$	579,061	$	857,265
Effect of dilutive securities
Interest expense associated with Convertible Senior Notes, net of tax	7,992		—		16,201		—
Numerator for diluted earnings per common share - Net income after the effect of dilutive securities	$	326,494	$	495,509	$	595,262	$	857,265
Denominator:
Weighted average common shares outstanding - basic	75,610		84,512		75,895		84,631
Dilutive effect of stock-based awards	4,922		6,297		5,476		6,352
Dilutive effect of warrants	5,976		7,782		7,657		6,711
Dilutive effect of Convertible Senior Notes	13,881		10,680		15,481		9,947
Weighted average common shares outstanding - diluted	100,389		109,271		104,509		107,641
Earnings per common share:
Basic	$	4.21	$	5.86	$	7.63	$	10.13
Diluted	$	3.25	$	4.53	$	5.70	$	7.96
Stock-based awards excluded from diluted shares	542		2		278		82

The dilutive effect of the Convertible Senior Notes included 8.6 million and 10.7 million shares for the 13 weeks ended July 30, 2022 and July 31, 2021, respectively, and 10.2 million and 9.9 million shares for the 26 weeks ended July 30, 2022 and July 31, 2021, respectively, that are designed to be offset at settlement by shares delivered from the bond hedge purchased by the Company. The shares provided by the bond hedge are anti-dilutive; accordingly, they are not treated as a reduction to diluted weighted average shares outstanding for any periods presented. In addition, the dilutive effect of the Convertible Senior Notes for the 13 and 26 weeks ended July 30, 2022 included approximately 5.3 million shares related to the principal amount of the Convertible Senior Notes, which the Company intends to settle in cash.

3. Fair Value Measurements

Accounting Standard Codification (“ASC”) 820, “Fair Value Measurement and Disclosures,” outlines a valuation framework and creates a fair value hierarchy for assets and liabilities as follows:

Level 1:  Observable inputs such as quoted prices in active markets;

Level 2:  Inputs, other than quoted prices in active markets, that are observable either directly or indirectly; and

Level 3:  Unobservable inputs in which there is little or no market data, which require the reporting entity to develop

its own assumptions.

Recurring

The Company measures its deferred compensation plan assets held in trust at fair value on a recurring basis using Level 1 inputs. Such assets consist of investments in various mutual funds made by eligible individuals as part of the Company’s deferred compensation plans. As of July 30, 2022, January 29, 2022 and July 31, 2021, the fair value of the Company’s deferred compensation plans was $135.5 million, $150.8 million, and $148.2 million, respectively, as determined by quoted prices in active markets.

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DICK’S SPORTING GOODS, INC. AND SUBSIDIARIES
NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

The Company discloses the fair value of its senior notes due 2032 and 2052 and Convertible Senior Notes using Level 2 inputs, which are based on quoted prices for similar or identical instruments in inactive markets, as follows (in millions):

	July 30, 2022				January 29, 2022				July 31, 2021
	Carrying Value		Fair Value		Carrying Value		Fair Value		Carrying Value		Fair Value
Senior notes due 2032	$	742.1	$	615.5	$	741.7	$	733.1	$	—	$	—
Senior notes due 2052	$	739.8	$	518.6	$	739.7	$	711.3	$	—	$	—
Convertible Senior Notes	$	368.5	$	1,087.6	$	449.3	$	2,016.3	$	433.5	$	1,768.8

Prior to the adoption of ASU 2020-06, the carrying value of the Convertible Senior Notes excluded amounts classified within additional paid-in capital and any unamortized discounts as of January 29, 2022 and July 31, 2021. See Note 1 – Description of Business and Basis of Presentation for further information.

Due to their short-term nature, the fair value of cash and cash equivalents, accounts receivable, accounts payable and certain other liabilities approximated their carrying values at July 30, 2022, January 29, 2022, and July 31, 2021.

Nonrecurring

Assets and liabilities recognized or disclosed at fair value on a nonrecurring basis may include property and equipment, operating lease assets, goodwill and other intangible assets, equity and other assets. These assets are required to be assessed for impairment when events or circumstances indicate that the carrying value may not be recoverable, and at least annually, for goodwill and indefinite-lived intangible assets. In the event that an impairment is required, the asset is adjusted to fair value, using Level 3 inputs.

4. Leases

The Company leases all of its stores, three of its distribution centers and certain equipment under non-cancellable operating leases that expire at various dates through 2033. The Company’s stores generally have initial lease terms of 10 to 15 years and contain multiple five-year renewal options and rent escalation provisions. The lease agreements are primarily for the payment of minimum annual rentals, costs of utilities, property taxes, maintenance, common areas and insurance.

Supplemental cash flow information related to operating leases for the 26 weeks ended July 30, 2022 and July 31, 2021 were as follows (in millions):

	26 Weeks Ended
	July 30, 2022		July 31, 2021
Cash paid for amounts included in the measurement of operating lease liabilities	$	332.4	$	342.1
Non-cash operating lease assets and liabilities obtained in exchange for new or modified leases	$	254.7	$	169.0

5. Convertible Senior Notes

Overview

In April 2020, the Company issued an aggregate $575.0 million of 3.25% Convertible Senior Notes due 2025, which included the exercise of the full $75.0 million over-allotment option, receiving proceeds of $557.6 million, net of $17.4 million of transaction fees and other third-party offering expenses. The Convertible Senior Notes are scheduled to mature on April 15, 2025 and accrue interest at a rate of 3.25% per annum, payable semi-annually in arrears on April 15 and October 15.

As of July 30, 2022, the conversion rate for the Convertible Senior Notes was 30.8280, which represents a conversion price of $32.44 per share. The difference between the initial conversion rate and the conversion rate as of July 30, 2022 is due to dividends that have been declared and paid on shares of the Company’s common stock following the issuance of the Convertible Senior Notes.

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DICK’S SPORTING GOODS, INC. AND SUBSIDIARIES
NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

Upon conversion, the Company may settle the Convertible Senior Notes for cash, shares of the Company’s common stock, or a combination thereof, at the Company’s option. The Company also has the ability to irrevocably elect to settle the Convertible Senior Notes in cash without amending the indentures or the Convertible Senior Notes themselves. The Company currently intends to settle the principal amount of the Convertible Senior Notes in cash and any conversion premium in shares of its common stock.

Convertible Senior Notes Exchanges

In the first quarter of 2022, the Company entered into agreements with certain holders of the Convertible Senior Notes to exchange $100.0 million in aggregate principal amount of the Convertible Senior Notes for a combination of cash and shares of the Company’s common stock. In the second quarter of 2022, the Company entered into agreements with certain holders of the Convertible Senior Notes to exchange an additional $100.0 million aggregate principal amount for a combination of cash and shares of the Company’s common stock in two separate transactions. The first and second quarter payments included all accrued and unpaid interest on the amounts exchanged. Concurrently with each of the exchanges in the first and second quarter of 2022 (collectively, the “Notes Exchanges”), the Company entered into agreements with certain counterparties to terminate a proportionate amount of the convertible bond hedge and warrant agreements that were entered into by the Company in April 2020 in connection with the issuance of the Convertible Senior Notes.

In connection with the Notes Exchanges, the Company recognized pre-tax inducement charges of approximately $6.6 million and $12.3 million during the 13 and 26 weeks ended July 30, 2022, respectively, which were recorded within interest expense on the Consolidated Statement of Income. The Company also paid a total of $200.0 million to noteholders to redeem the principal amount of the Convertible Senior Notes, which had a carrying value totaling $196.3 million, and issued approximately 3.5 million shares of the Company's common stock. Following the Notes Exchanges, $375.0 million aggregate principal amount of the Convertible Senior Notes remain outstanding at July 30, 2022. In addition, approximately 11.6 million shares underlie the Convertible Senior Notes, the convertible bond hedge and the warrants at July 30, 2022.

Financial Statement Impacts

As discussed in Note 1 – Description of Business and Basis of Presentation, following the adoption of ASU 2020-06, the Convertible Senior Notes are recorded entirely as a liability. A summary of the composition of the net carrying value of the Convertible Senior Notes is as follows:

(in millions)	July 30, 2022		January 29, 2022		July 31, 2021
Principal	$	375.0	$	575.0	$	575.0
Debt discount	(6.5)		(125.7)		(141.5)
Carrying amount	$	368.5	$	449.3	$	433.5
Equity component (*)	N/A		$	160.7	$	160.7

(*) Included in additional paid-in capital on the Consolidated Balance Sheets as of January 29, 2022 and July 31, 2021.

During the 13 and 26 weeks ended July 30, 2022, the Company recognized $10.8 million and $21.9 million of interest expense related to the Convertible Senior Notes, or $8.0 million and $16.2 million, net of tax, respectively. Interest expense related to the Convertible Senior Notes included the aforementioned inducement charges and $0.7 million and $1.5 million of non-cash amortization of the debt discount during the 13 and 26 weeks ended July 30, 2022, respectively. During the 13 and 26 weeks ended July 31, 2021, the Company recognized $12.3 million and $24.3 million of interest expense related to the Convertible Senior Notes, of which $7.7 million and $15.0 million, respectively, was attributed to non-cash amortization of the debt discount.

At July 30, 2022, the stock price conditions under which the Convertible Senior Notes could be convertible at the holders’ option were met. The Company has not received any material conversion requests through the filing date of this Form 10-Q. Because the closing price of the Company’s common stock of $93.59 at the end of the current quarter exceeded the conversion price of $32.44, the if-converted value exceeded the principal amount outstanding of the Convertible Senior Notes by approximately $707.0 million at July 30, 2022.

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DICK’S SPORTING GOODS, INC. AND SUBSIDIARIES
NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

6. Subsequent Event

On August 22, 2022, the Company's Board of Directors authorized and declared a quarterly cash dividend in the amount of $0.4875 per share on the Company's common stock and Class B common stock. The dividend is payable on September 30, 2022 to stockholders of record as of the close of business on September 9, 2022.

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ITEM 2.  MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

FORWARD-LOOKING STATEMENTS

We caution that any forward-looking statements (as such term is defined in the Private Securities Litigation Reform Act of 1995) contained in this Quarterly Report on Form 10-Q or made by our management involve risks and uncertainties and are subject to change based on various important factors, many of which may be beyond our control. Accordingly, our future performance and financial results may differ materially from those expressed or implied in any such forward-looking statements. Investors should not place undue reliance on forward-looking statements as a prediction of actual results. These statements can be identified as those that may predict, forecast, indicate or imply future results, performance or advancements and by forward-looking words such as “believe”, “anticipate”, “expect”, “estimate”, “predict”, “intend”, “plan”, “project”, “goal”, “will”, “will be”, “will continue”, “will result”, “could”, “may”, “might” or any variations of such words or other words with similar meanings. Forward-looking statements address, among other things, our belief that consumers have made lasting lifestyle changes by an increased focus on health and fitness, sports, and outdoor activities, leading to structurally higher sales; current macroeconomic conditions, including the uncertain impact of inflation, fuel prices, and the risk of recession; supply chain disruptions and labor market challenges, including factory closures and port congestion, which are resulting in rising container and transportation costs; the normalization of sales in certain categories, including fitness and outdoor equipment; the adequacy of our cash flow; our ability to control expenses; plans to leverage our real estate portfolio to capitalize on future opportunities in the near and intermediate term as our existing leases come up for renewal and our plans to add new retail concepts and experiential stores; our intention to repay the principal outstanding amounts of the Convertible Senior Notes using excess cash, free cash flow or borrowings on our unsecured $1.6 billion revolving credit facility (the “Credit Facility”); projections of our future profitability; projected range of capital expenditures and our plans to make improvements within our existing stores and new store development and to continue investing in technology to enhance our store fulfillment and in-store pickup capabilities; anticipated store openings and relocations; plans to return capital to stockholders through dividends and in share repurchases; and our future results of operations and financial condition.

The following factors, among others, in some cases have affected, and in the future, could affect our financial performance and actual results, and could cause actual results for fiscal 2022 and beyond to differ materially from those expressed or implied in any forward-looking statements included in this Quarterly Report on Form 10-Q or otherwise made by our management:

▪Challenging macroeconomic conditions, including inflationary pressures, the risk of recession and supply chain constraints, due to COVID-19, the conflict in Ukraine or otherwise; decreases in consumer demand for our products; and the effectiveness of measures to mitigate such impact on our business and consumer spending;

▪The impact of COVID-19 on our business, operations and financial results, including the impact due to disruptions in our or our vendors’ supply chains and due to restrictions imposed by federal, state, and local governments in response to increases in the number of COVID-19 cases in areas in which we operate;

▪The dependence of our business on consumer discretionary spending, the impact of a decrease in discretionary spending due to inflation or otherwise on our business, and our ability to predict or effectively react to changes in consumer demand or shopping patterns, including the short-term and long-term impact due to the COVID-19 pandemic;

▪Intense competition in the sporting goods industry and in retail, including competition for talent and the level of competitive promotional activity;

▪Increasing product costs, which could be caused by numerous reasons including foreign trade issues, currency exchange rate fluctuations, increasing prices for materials due to inflation or other reasons, supply chain delays, associated costs and constraints, or foreign political instability;

▪Disruptions to our eCommerce platform, including interruptions, delays or downtime caused by high volumes of users or transactions; deficiencies in design or implementation; or platform enhancements;

▪Vendors continuing to sell or increasingly selling their products directly to customers or through broadened or alternative distribution channels;

▪Negative reactions from our customers, shareholders or vendors regarding changes to our policies or positions related to social and political issues;

▪That our strategic plans and initiatives may initially result in a negative impact on our financial results, or that such plans and initiatives may not achieve the desired results within the anticipated time frame or at all;

•The impact of an increase to corporate tax rates or imposition of an excise tax with respect to share repurchase activity, including the potential impact of the Inflation Reduction Act of 2022;

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•Our ability to optimize our store lease portfolio and our distribution and fulfillment network;

▪Unauthorized disclosure of sensitive or confidential customer information;

▪Risks associated with our vertical brand offerings, including product liability and product recalls, specialty concept stores, and GameChanger;

▪Disruptions or other problems with our information systems;

▪Risks and costs relating to changing laws and regulations affecting our business, including consumer products; firearms and ammunition; tax, foreign trade; labor; data protection; privacy; environmental, social, and governance issues;

▪Litigation risks for which we may not have sufficient insurance or other coverage;

▪Our ability to secure and protect our trademarks and other intellectual property and defend claims of intellectual property infringement;

▪Our ability to protect the reputation of our Company and our brands;

▪Our ability to attract, train, engage and retain qualified leaders and associates due to current labor challenges or otherwise or the loss of Edward Stack or Lauren Hobart as executive officers;

▪The impact of wage increases on our financial results, including those related to supply chain disruptions and labor challenges;

▪Disruptions at our supply chain facilities or customer support center;

▪Poor performance of professional sports teams, professional team lockouts or strikes, retirement, serious injury or scandal involving key athletes, and disruptions to or cancellations of major sporting events or organized youth and adult sports programs due to COVID-19 or otherwise;

▪Weather-related disruptions, unusual seasonal weather patterns and the overall seasonality of our business, as well as the current geographic concentration of DICK’S Sporting Goods stores;

▪Our pursuit of strategic investments or acquisitions, including the timing and costs of such investments and acquisitions;

▪We are controlled by our Executive Chairman and his relatives, whose interests may differ from those of our other stockholders;

▪Risks related to our indebtedness, including the senior notes due 2032 (the “2032 Notes”) and senior notes due 2052 (the “2052 Notes” and together with the 2032 Notes, the “Senior Notes”), the Convertible Senior Notes and the related bond hedge and warrant transactions;

▪Our current anti-takeover provisions, which could prevent or delay a change in control of the Company; and

▪The issuance of special or quarterly cash dividends and our repurchase activity, if any, pursuant to our share repurchase programs.

The foregoing and additional risk factors are described in more detail in Item 1A. “Risk Factors” of this Quarterly Report and other reports or filings filed or furnished by us with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the year ended January 29, 2022, filed on March 23, 2022 (our “2021 Annual Report”). In addition, we operate in a highly competitive and rapidly changing environment; therefore, new risk factors can arise, and it is not possible for management to predict all such risk factors, nor to assess the impact of all such risk factors on our business or the extent to which any individual risk factor, or combination of risk factors, may cause results to differ materially from those contained in any forward-looking statement. The forward-looking statements included in this Quarterly Report on Form 10-Q are made as of the date hereof. We do not assume any obligation and do not intend to update or revise any forward-looking statements whether as a result of new information, future developments or otherwise except as may be required by securities laws.

OVERVIEW

We are a leading omni-channel sporting goods retailer offering an extensive assortment of authentic, high-quality sports equipment, apparel, footwear and accessories. In addition to DICK’S Sporting Goods stores, we own and operate Golf Galaxy, Field & Stream, Public Lands and Going Going Gone! specialty concept stores and offer our products both online and through our mobile apps. We also own and operate DICK’S House of Sport and Golf Galaxy Performance Center, as well as GameChanger, a youth sports mobile app for scheduling, communications, live scorekeeping and video streaming. When used in this Quarterly Report on Form 10-Q, unless the context otherwise requires or specifies, any reference to “year” is to our fiscal year.

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Over the past five years, we have transformed our business to drive sustainable growth in sales and profitability. During this time, we meaningfully improved our merchandise assortment, as our strong relationships with our key brand partners provided access to highly differentiated product. We also enhanced our store selling culture and service model and incorporated experiential elements and technology into our stores to engage our athletes. Finally, we invested in technology and data science to improve our pricing strategy, digital marketing and personalization. Consumers have also made lasting lifestyle changes in recent years, increasing their focus on health and fitness, sports and outdoor activities. As a result of our core strategies, foundational improvements and favorable consumer trends, net sales increased 40.5% in fiscal 2021 compared to fiscal 2019, while merchandise margins increased 626 basis points as a percentage of net sales in the same period-to-period comparison.

Our profitability is primarily influenced by growth in comparable store sales, the strength of merchandise margins derived from our omni-channel platform and our ability to manage operating expenses. With our structurally higher sales, expanded merchandise margins, and operating expense leverage, our pre-tax income as a percentage of net sales has grown from 4.7% in fiscal 2019 to 16.2% in fiscal 2021.

Macroeconomic Outlook

The macroeconomic environment in which we operate remains uncertain as a result of numerous factors, including inflation and the potential risk of recession. In addition, the continued disruption of global labor markets and supply chains due to COVID-19 and other factors, including factory closures and port congestion, has resulted in longer transit times and elevated container and transportation costs that we expect will continue in the near term. Although we have successfully managed these issues thus far, the longer-term effect of these challenges may impact consumer discretionary spending behavior and the promotional landscape in which we operate. Our revised fiscal 2022 outlook contemplates this uncertainty.

How We Evaluate Our Operations

Senior management focuses on certain key indicators to monitor our performance, including:

▪Comparable store sales performance – Our management considers comparable store sales, which includes online sales, to be an important indicator of our current performance. Comparable store sales results are important to leverage our costs, which include occupancy costs, store payroll and other store expenses. Comparable store sales also have a direct impact on our total net sales, net income, cash and working capital. A store is included in the comparable store sales calculation during the same fiscal period that it commences its 14th full month of operations. Relocated stores are included in the comparable store sales calculation from the open date of the original location. Stores that were permanently closed during the applicable period have been excluded from comparable store sales results. See further discussion of our comparable store sales in the “Results of Operations and Other Selected Data” section herein.

▪Earnings before taxes and the related operating margin – Our management views operating margin and earnings before taxes as key indicators of our performance. The key drivers of earnings before taxes are comparable store sales, gross profit, and our ability to control selling, general and administrative expenses.

▪Cash flows from operating activities – Cash flow generation supports our general liquidity needs and funds capital expenditures for our omni-channel platform, which include investments in new and existing stores and our eCommerce channel, distribution and administrative facilities, continuous improvements to information technology tools, potential strategic acquisitions or investments that may arise from time-to-time and stockholder return initiatives, including cash dividends and share repurchases. We typically experience lower operating cash flows in our third fiscal quarter due to increased inventory purchases in advance of the holiday selling season, which typically normalizes in our fourth fiscal quarter. See further discussion of our cash flows in the “Liquidity and Capital Resources” section herein.

▪Quality of merchandise offerings – To measure effectiveness of our merchandise offerings, we monitor sell-throughs, inventory turns, gross margins and markdown rates at the department and style level. This analysis helps us manage inventory levels to reduce working capital requirements and deliver optimal gross margins by improving merchandise flow and establishing appropriate price points to minimize markdowns.

▪Store productivity – To assess store-level performance, we monitor various indicators, including new store productivity, sales per square foot, store operating contribution margin and store cash flow.

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CRITICAL ACCOUNTING POLICIES

As discussed in Item 7. “Management’s Discussion and Analysis of Financial Condition and Results of Operations” of the Company’s 2021 Annual Report, we consider our policies on inventory valuation, business development allowances, goodwill and intangible assets, impairment of long-lived assets, self-insurance reserves and stock-based compensation to be the most critical in understanding the judgments that are involved in preparing our consolidated financial statements. 

RESULTS OF OPERATIONS AND OTHER SELECTED DATA

Executive Summary 

•Net sales decreased 5.0% to $3.11 billion in the current quarter from $3.27 billion during the second quarter of 2021, which included a decrease in comparable store sales of 5.1% following a 20.2% increase in the same period last year. When compared to the second quarter of 2019, net sales increased 38%.

•In the current quarter, we reported net income of $318.5 million, or $3.25 per diluted share, compared to $495.5 million, or $4.53 per diluted share, during the second quarter of 2021.

•Earnings per diluted share for the current quarter excluded $8.0 million of interest expense, net of tax, and included 13.9 million diluted shares related to the Convertible Senior Notes, which together, decreased earnings per diluted share by $0.43. In fiscal 2022, earnings per diluted share reflects the adoption of ASU 2020-06, which requires the assumption that our Convertible Senior Notes will be settled in shares of our common stock. Due to our intent to settle the principal of the Convertible Senior Notes in cash and the shares we expect to receive from our convertible bond hedge, which is designed to offset dilution, we do not expect the Convertible Senior Notes will have a dilutive effect upon conversion.

•Net income in the second quarter of 2021 included $5.7 million of non-cash interest expense, net of tax, and earnings per diluted share included 10.7 million shares related to the Convertible Senior Notes that are designed to be offset at conversion by our bond hedge, which together decreased earnings per diluted share by $0.55 in the prior year quarter.

•During the second quarter of 2022, we:

•Exchanged $100 million aggregate principal amount of our 3.25% Convertible Senior Notes and unwound the corresponding portion of the convertible bond hedge and warrants for $100 million of cash and 1.7 million shares of our common stock;

•Declared and paid a quarterly cash dividend in the amount of $0.4875 per share of our common stock and Class B common stock; and,

•Repurchased 3.9 million shares of common stock for a total cost of $318.9 million under our share repurchase program.

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•The following table summarizes store openings and permanent store closures for the periods indicated:

	Fiscal 2022			Fiscal 2021
	DICK’S Sporting     Goods (1)	Specialty Concept Stores (2)	Total	DICK’S Sporting      Goods (1)	Specialty Concept Stores (2)	Total
Beginning stores	730	131	861	728	126	854
Q1 New stores	—	1	1	2	—	2
Q2 New stores	1	1	2	1	1	2
Closed stores	1	3	4	—	1	1
Ending stores	730	130	860	731	126	857
Relocated stores	3	1	4	7	—	7

(1)Fiscal 2021 includes two DICK'S House of Sport stores and fiscal 2022 includes three DICK’S House of Sport stores.

(2)Includes our Golf Galaxy, Field & Stream, Public Lands and Going Going Gone! stores, and excludes temporary Warehouse Sale store locations. In some markets, we operate DICK’S Sporting Goods stores adjacent to our specialty concept stores on the same property with a pass-through for our athletes. We refer to this format as a “combo store” and include combo store openings within both the DICK’S Sporting Goods and specialty concept store reconciliations, as applicable. As of July 30, 2022, the Company operated 25 combo stores.

The following tables present selected information from the unaudited Consolidated Statements of Income as a percentage of net sales and the changes in the percentage of net sales from the comparable 2021 period, and other data, and are provided to facilitate a further understanding of our business. These tables should be read in conjunction with Item 2. “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and the accompanying unaudited Consolidated Financial Statements and related notes thereto.

					Basis Point Change in Percentage of Net Sales from Prior Year 2021-2022
	13 Weeks Ended
	July 30, 2022		July 31, 2021
Net sales (1)	100.00	%	100.00	%	N/A
Cost of goods sold, including occupancy and distribution costs (2)	63.97		60.09		388
Gross profit	36.03		39.91		(388)
Selling, general and administrative expenses (3)	21.12		19.55		157
Pre-opening expenses (4)	0.12		0.10		2
Income from operations	14.79		20.26		(547)
Interest expense	0.82		0.42		40
Other expense (income)	0.24		(0.21)		45
Income before income taxes	13.73		20.05		(632)
Provision for income taxes	3.50		4.92		(142)
Net income	10.23	%	15.13	%	(490)
Other Data:
Comparable store sales (decrease) increase (5)	(5.1	%)	20.2	%
Number of stores at end of period (6)	860		857
Total square feet at end of period (6)	42,394,897		42,278,449

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					Basis Point Change in Percentage of Net Sales from Prior Year 2021-2022 (A)
	26 Weeks Ended
	July 30, 2022		July 31, 2021 (A)
Net sales (1)	100.00	%	100.00	%	N/A
Cost of goods sold, including occupancy and distribution costs (2)	63.77		61.32		245
Gross profit	36.23		38.68		(245)
Selling, general and administrative expenses (3)	21.89		20.16		173
Pre-opening expenses (4)	0.12		0.13		(1)
Income from operations	14.22		18.40		(418)
Interest expense	0.88		0.44		44
Other expense (income)	0.28		(0.23)		51
Income before income taxes	13.06		18.19		(513)
Provision for income taxes	3.10		4.34		(124)
Net income	9.96	%	13.84	%	(388)
Other Data:
Comparable store sales (decrease) increase (5)	(6.6	%)	52.2	%
Number of stores at end of period (6)	860		857
Total square feet at end of period (6)	42,394,897		42,278,449

(A) Column does not add due to rounding.

(1)Revenue from retail sales is recognized at the point of sale, net of sales tax. Revenue from eCommerce sales, including vendor-direct sales arrangements, is recognized upon shipment of merchandise. A provision for anticipated merchandise returns is provided through a reduction of sales and cost of goods sold in the period that the related sales are recorded. Revenue from gift cards and returned merchandise credits (collectively the “cards”) is deferred and recognized upon the redemption of the cards. The cards have no expiration date.

(2)Cost of goods sold includes: the cost of merchandise (inclusive of vendor allowances, inventory shrinkage and inventory write-downs for the lower of cost or net realizable value); freight; distribution; shipping; and store occupancy costs. We define merchandise margin as net sales less the cost of merchandise sold. Store occupancy costs include rent, common area maintenance charges, real estate and other asset-based taxes, general maintenance, utilities, depreciation and certain insurance expenses.

(3)Selling, general and administrative expenses include store and field support payroll and fringe benefits, advertising, bank card charges, operating costs associated with our internal eCommerce platform, information systems, marketing, legal, accounting, other store expenses and all expenses associated with operating our customer support center.

(4)Pre-opening expenses, which consist primarily of rent, marketing, payroll and recruiting costs, are expensed as incurred. Rent is recognized within pre-opening expense from the date we take possession of a site through the date the store opens.

(5)Beginning in fiscal 2022, we revised our method for determining comparable store sales calculations to include relocated store locations. Prior year information is revised to reflect this change for comparability purposes. See additional details as furnished in Exhibit 99.2 of Form 8-K, which was filed with the Securities and Exchange Commission on March 8, 2022.

(6)Includes our DICK’S Sporting Goods, Golf Galaxy, Field & Stream, Public Lands and Going Going Gone! stores. Excludes temporary Warehouse Sale store locations.

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13 Weeks Ended July 30, 2022 Compared to the 13 Weeks Ended July 31, 2021  

Net Sales

Net sales decreased approximately 5.0% to $3,112.4 million in the current quarter from $3,274.8 million in the quarter ended July 31, 2021, due primarily to a $164.1 million, or 5.1%, decrease in comparable store sales. The decrease in comparable store sales included an 8.4% decrease in transactions offset by a 3.3% increase in sales per transaction, and reflects an anticipated sales normalization in certain categories, including fitness and outdoor equipment, as well as inventory constraints affecting apparel, partially offset by growth in footwear and team sports.

Income from Operations 

Income from operations decreased to $460.2 million in the current quarter compared to $663.6 million for the quarter ended July 31, 2021.

Gross profit decreased to $1,121.4 million in the current quarter from $1,307.1 million for the quarter ended July 31, 2021 and decreased as a percentage of net sales by approximately 388 basis points. Merchandise margins decreased 197 basis points, as we strategically introduced some item level pricing offerings, and higher inventory shrink due to increased theft. In addition, supply chain costs increased approximately 92 basis points, primarily due to continuing global disruptions, and occupancy deleveraged 71 basis points. Occupancy costs, which after the cost of merchandise represents the largest item within our cost of goods sold, are generally fixed on a per store basis and fluctuate based on the number of stores that we operate. Our occupancy costs increased $9.1 million compared to the prior year quarter. The remaining decrease in gross profit as a percentage of net sales was driven by an increase in eCommerce shipping expense.

Selling, general and administrative expenses increased to $657.4 million in the current quarter from $640.3 million during the second quarter of 2021, and increased as a percentage of net sales by 157 basis points primarily due to the decrease in net sales. The $17.1 million increase was driven by investments in hourly wage rates and talent to support our growth strategies, offset by a $17.8 million net cost reduction compared to the prior year quarter related to changes in the investment values of our deferred compensation plans, for which the corresponding investment change was recognized in Other Expense.

Interest Expense

Interest expense increased to $25.5 million in the current quarter from $13.8 million in the prior year quarter. The increase was primarily due to $13.8 million of interest expense related to the aggregate $1.5 billion Senior Notes issued during the fourth quarter of 2021. Current quarter interest expense also included $6.6 million of inducement charges related to the exchange of $100 million aggregate principal amount of the Convertible Senior Notes, which were primarily offset by a reduction in non-cash interest expense due to our adoption of ASU 2020-06; see Part I. Item 1. Financial Statements, Note 1 – Description of Business and Basis of Presentation for additional details.

Other Expense (Income)

Other expense totaled $7.4 million in the current quarter compared to other income of $6.8 million in the prior year quarter. The change was primarily due to changes in our deferred compensation plan investment values, which we account for by recognizing investment income or expense and recording an offsetting charge or reduction to selling, general and administrative costs.

Income Taxes

Our effective tax rate increased to 25.5% in the current quarter from 24.5% in the quarter ended July 31, 2021.

26 Weeks Ended July 30, 2022 Compared to the 26 Weeks Ended July 31, 2021

Net Sales

Net sales were $5,812.6 million in the current period, a 6.2% decrease from net sales of $6,193.6 million reported for the prior year period, due primarily to a $403.2 million, or 6.6%, decrease in comparable store sales, partially offset by a $22.2 million increase in net sales primarily attributable to new stores. The decrease in comparable store sales included a 7.4% decrease in transactions offset by a 0.8% increase in sales per transaction, and reflects an anticipated sales normalization in certain categories, including fitness and outdoor equipment, along with last year’s favorable sales impact following government stimulus payments, and inventory constraints affecting apparel, partially offset by growth in footwear and team sports.

21

Income from Operations

Income from operations decreased to $826.7 million in the current year-to-date period, compared to $1,139.4 million in the prior year period.

Gross profit decreased to $2,106.1 million for the current period from $2,395.7 million for the prior year period, a decrease as a percentage of net sales of 245 basis points, primarily due to a 98 basis point increase in supply chain related costs, primarily due to continuing global disruptions and 81 basis points of occupancy deleverage. Our occupancy costs increased $15.5 million compared to the prior year period and decreased gross profit as a percentage of net sales due primarily to the decrease in net sales. The remaining decrease in gross profit as a percentage of net sales was primarily driven by lower merchandise margin and higher eCommerce shipping expenses.

Selling, general and administrative expenses increased to $1,272.7 million in the current year-to-date period from $1,248.6 million for the prior year period, and increased as a percentage of net sales by 173 basis points primarily due to the decrease in net sales. The $24.1 million increase was driven by investments in hourly wage rates and talent to support our growth strategies, along with higher brand-building marketing expenses, offset by lower incentive compensation expense and a $34.8 million net cost reduction compared to the prior year period related to changes in the investment values of our deferred compensation plans, for which the corresponding investment change was recognized in Other Expense. In addition, selling, general and administrative expense included approximately $15 million of COVID-related costs in the prior year-to-date period.

Interest Expense

Interest expense increased to $51.1 million in the current period from $27.2 million in the prior year period. The increase was primarily due to $27.6 million of interest expense related to the aggregate $1.5 billion Senior Notes issued during the fourth quarter of 2021. Current period interest expense also included $12.3 million of inducement charges related to three exchange transactions totaling $200 million aggregate principal amount of the Convertible Senior Notes, which were primarily offset by a reduction in non-cash interest expense due to our adoption of ASU 2020-06; see Part I. Item 1. Financial Statements, Note 1 – Description of Business and Basis of Presentation for additional details.

Other Expense (Income)

Other expense totaled $16.4 million in the current period compared to other income of $14.1 million for the period ended July 31, 2021. The change was primarily due to changes in our deferred compensation plan investment values, which we account for by recognizing investment income or expense and recording an offsetting charge or reduction to selling, general and administrative costs.

Income Taxes

Our effective tax rate decreased to 23.7% for the current period from 23.9% for the same period last year.

LIQUIDITY AND CAPITAL RESOURCES

Our cash on hand at July 30, 2022 was $1.90 billion. We believe that we have sufficient cash flows from operations and cash on hand to operate our business for at least the next twelve months, supplemented by funds available under our unsecured $1.6 billion Credit Facility, if necessary. We may require additional funding should we pursue strategic acquisitions, settle all or a portion of the Convertible Senior Notes, undertake share repurchases, pursue other investments or engage in store expansion rates in excess of historical levels.

The following sections describe the potential short and long-term impacts to our liquidity and capital requirements.

Leases

We lease all of our stores, three of our distribution centers and certain equipment under non-cancellable operating leases that expire at various dates through 2033. Over two-thirds of our DICK’S Sporting Goods stores will be up for lease renewal at our option over the next five years, and we plan to leverage the significant flexibility within our existing real estate portfolio to capitalize on future real estate opportunities.

22

Revolving Credit Facility

We have available to us a $1.6 billion Credit Facility, which includes a maximum amount of $75 million to be issued in the form of letters of credit. Loans under the Credit Facility bear interest at an alternate base rate or an adjusted secured overnight financing rate plus, in each case, an applicable margin percentage. As of July 30, 2022, there were no borrowings outstanding under the Credit Facility, and we have total remaining borrowing capacity, after adjusting for $16.1 million of standby letters of credit, of $1.58 billion. We were in compliance with all covenants under the Credit Facility agreement at July 30, 2022.

Senior Notes

As of July 30, 2022, we have $750 million principal amount of 2032 Notes and $750 million of 2052 Notes. Cash interest accrues at a rate of 3.15% per year on the 2032 Notes and 4.10% per year on the 2052 Notes, each of which are payable semi-annually in arrears on January 15 and July 15.

Convertible Senior Notes

Following our exchanges totaling $200 million principal amount in cash during the 26 weeks ended July 30, 2022, we have an aggregate principal amount of $375 million of Convertible Senior Notes outstanding. Cash interest accrues at a rate of 3.25% per annum, payable semi-annually in arrears on April 15 and October 15. We currently anticipate that we will repay the remaining principal amount of the Convertible Senior Notes in cash, whether in connection with an early conversion of such notes or repayment at maturity, using excess cash, free cash flow or borrowings on our Credit Facility to minimize share dilution. However, we may need to pursue additional sources of liquidity to repay the Convertible Senior Notes in cash at their maturity date in April 2025 or upon early conversion, as applicable.

As of July 30, 2022, the stock price conditions under which the Convertible Senior Notes could be convertible at the holders’ option were met. However, we have not received any material conversion requests through the filing date of this Form 10-Q. There can be no assurance that any capital required to repay our Convertible Senior Notes will be available on terms that are favorable to us, or at all.

Capital Expenditures

Our capital expenditures are primarily allocated toward the development of our omni-channel platform, including investments in new and existing stores and eCommerce technology, while we have also invested in our supply chain and corporate technology capabilities. Capital expenditures for the 26 weeks ended July 30, 2022 totaled $167.7 million on a gross basis and $138.4 million on a net basis, which includes tenant allowances provided by landlords.

We anticipate that fiscal 2022 gross capital expenditures will be in a range of $400 to $425 million, and $340 to $365 million on a net basis, which includes tenant allowances provided by landlords. We expect our capital expenditures to be concentrated on improvements within our existing stores and new store development, as well as continued investments in technology to enhance our store fulfillment, in-store pickup and other foundational capabilities.

Share Repurchases

From time-to-time, we may opportunistically repurchase shares of our common stock. During the 26 weeks ended July 30, 2022, we repurchased approximately 4.4 million shares of our common stock at a cost of $361.1 million. We currently operate under a $2.0 billion share repurchase program that was authorized by the Board of Directors on December 16, 2021. As of July 30, 2022, the available amount remaining under the December 2021 authorization was $1.5 billion.

Any future share repurchase programs are subject to authorization by our Board of Directors and will be dependent upon future earnings, cash flows, financial requirements and other factors.

Dividends

During the 26 weeks ended July 30, 2022, we have paid $82.9 million of dividends to our stockholders. On August 22, 2022, our Board of Directors authorized and declared a quarterly cash dividend in the amount of $0.4875 per share of common stock and Class B common stock, payable on September 30, 2022 to stockholders of record as of the close of business on September 9, 2022.

The declaration of future dividends and the establishment of the per share amount, record dates and payment dates for any such future dividends are subject to authorization by our Board of Directors and are dependent upon multiple factors including future earnings, cash flows, financial requirements and other considerations.

23

Supply Chain Financing

We have entered into supply chain financing arrangements with several financial institutions, whereby suppliers have the opportunity to settle outstanding payment obligations early at a discount. In turn, we settle invoices with the financial institutions in accordance with the original supplier payment terms. Our rights and obligations to our suppliers, including amounts due and scheduled payment terms, are not impacted. Our liability associated with the funded participation in the arrangements, which is presented within accounts payable on the Consolidated Balance Sheet, was $86.1 million and $76.0 million as of July 30, 2022 and January 29, 2022, respectively.

Cash Flows

Changes in cash and cash equivalents are as follows:

	26 Weeks Ended
(in millions)	July 30, 2022		July 31, 2021
Net cash provided by operating activities	$	101.7	$	1,030.8
Net cash used in investing activities	(171.0)		(177.1)
Net cash used in financing activities	(678.4)		(275.0)
Effect of exchange rate changes on cash and cash equivalents	—		—
Net (decrease) increase in cash and cash equivalents	$	(747.7)	$	578.7

Operating Activities

Cash from operating activities decreased $929.0 million for the 26 weeks ended July 30, 2022 compared to the same period in the prior year. The decrease was primarily due to a $465.4 million increase in cash payments for inventory and accounts payable to replenish inventory levels after a 28.3% sales increase in fiscal 2021 and supply chain disruptions following the start of COVID-19, which resulted in inventory growth relatively in line with sales growth compared to fiscal 2019. The remaining decrease in cash from operating activities was primarily driven by a $278.2 million decrease in earnings during the current period as compared to the same period last year, and a $126.0 million decrease in accrued expenses as a result of year-over-year changes in incentive compensation accruals and corresponding payments, and the timing of marketing and deferred compensation plan payments.

Investing Activities

Cash used in investing activities decreased $6.1 million for the 26 weeks ended July 30, 2022 compared to the same period last year. Gross capital expenditures for the current period include investments in our stores and technology, offset by last year’s investments in merchandise presentation, space optimization and investments to enhance the fitting and lesson experience in our golf business.

Financing Activities

Financing activities have historically consisted of capital return initiatives, including share repurchases and cash dividend payments, cash flows generated from stock option exercises and cash activity associated with our Credit Facility, or other financing sources. Cash used in financing activities increased $403.4 million for the 26 weeks ended July 30, 2022 compared to the prior year period, primarily driven by higher share repurchases and the exchange of $200 million aggregate principal amount of our Convertible Senior Notes during the current year.

ITEM 3.  QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

There have been no material changes in the Company's market risk exposures from those reported in the Company's Annual Report on Form 10-K for the fiscal year ended January 29, 2022, filed with the Securities and Exchange Commission on March 23, 2022.

24

ITEM 4.  CONTROLS AND PROCEDURES 

During the second quarter of fiscal 2022, there were no changes in the Company’s internal controls over financial reporting that materially affected, or are reasonably likely to materially affect, the Company’s internal controls over financial reporting.

During the quarter, the Company carried out an evaluation, under the supervision and with the participation of the Company’s management, including the Chief Executive Officer and the Chief Financial Officer, of the effectiveness of the design and operation of the disclosure controls and procedures, as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended. Based upon that evaluation, the Company’s management, including the Chief Executive Officer and the Chief Financial Officer, concluded that the Company’s disclosure controls and procedures were effective as of the end of the period covered by this Quarterly Report on Form 10-Q, July 30, 2022. 

There are inherent limitations in the effectiveness of any control system, including the potential for human error and the circumvention or overriding of the controls and procedures. Additionally, judgments in decision making can be faulty and breakdowns can occur because of simple errors or mistakes. An effective control system can provide only reasonable, not absolute, assurance that the control objectives of the system are adequately met. Accordingly, our management, including our Chief Executive Officer and Chief Financial Officer, does not expect that our control system can prevent or detect all errors or fraud. Finally, projections of any evaluation or assessment of effectiveness of a control system to future periods are subject to the risks that, over time, controls may become inadequate because of changes in an entity’s operating environment or deterioration in the degree of compliance with policies and procedures. 

25

PART II.  OTHER INFORMATION

ITEM 1.  LEGAL PROCEEDINGS 

The Company is involved in various proceedings that are incidental to the normal course of its business. As of the date of this Quarterly Report on Form 10-Q, the Company does not expect that any of such proceedings will have a material adverse effect on the Company’s financial position or results of operations.

ITEM 1A.  RISK FACTORS

There have been no material changes to the risk factors affecting the Company from those disclosed in Part I, Item 1A. “Risk Factors” of the Company’s 2021 Annual Report.

ITEM 2.  UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

As previously disclosed by the Company in a Current Report on Form 8-K dated June 23, 2022, the Company entered into Exchange Agreements (the “June Exchange Agreements”) with certain holders of the Company’s Convertible Senior Notes due 2025 pursuant to which such holders exchanged, in the aggregate, $50 million aggregate principal amount of Convertible Senior Notes for shares of the Company’s common stock plus cash based upon the volume-weighted average price per share of the Company’s common stock during an averaging period that commenced on June 24, 2022. As a result of that valuation, the Company delivered to the exchanging holders an aggregate amount of 984,444 shares of its common stock plus an aggregate of $50 million in cash in exchange for an aggregate principal amount of $50 million of Convertible Senior Notes. These exchange transactions closed on June 29, 2022. The shares of common stock were delivered in reliance on an exemption from registration provided by Section 4(a)(2) of the Securities Act of 1933 in a transaction by an issuer not involving a public offering.

As previously disclosed by the Company in a Current Report on Form 8-K dated July 8, 2022, the Company entered into Exchange Agreements (the “July Exchange Agreements”) with certain holders of the Convertible Senior Notes pursuant to which such holders exchanged, in the aggregate, $50 million aggregate principal amount of Convertible Senior Notes for shares of the Company’s common stock plus cash based upon the volume-weighted average price per share of the Company’s common stock during an averaging period that commenced on July 11, 2022. As a result of that valuation, the Company delivered to the exchanging holders an aggregate amount of 995,180 shares of its common stock plus an aggregate of $50 million in cash in exchange for an aggregate principal amount of $50 million of the Convertible Senior Notes. These exchange transactions closed on July 15, 2022. The shares of common stock were delivered in reliance on an exemption from registration provided by Section 4(a)(2) of the Securities Act of 1933 in a transaction by an issuer not involving a public offering.

The shares of common stock and cash delivered pursuant to the exchanges described above were obtained by the Company from financial institutions (each, a “Hedge Counterparty”) as part of the partial early unwinds of a portion of the convertible note hedge transactions and related warrant transactions (collectively, the “Hedge Transactions”) pursuant to early unwind agreements between the Company and each Hedge Counterparty (collectively, the “Hedge Early Termination Agreements”) relating to a portion of the Hedge Transactions corresponding to the amount of Convertible Senior Notes exchanged by holders thereof pursuant to the June Exchange Agreements and the July Exchange Agreements, respectively. In connection with the Hedge Early Termination Agreements, the Company received 155,639 shares and 148,718 shares as part of the June and July exchange transactions, respectively.

The foregoing description does not purport to be complete and is qualified in its entirety by reference to the full text of the forms thereof, copies of which were filed with the Company’s Current Report on Form 8-K dated June 23, 2022 as Exhibits 10.1, 10.2, and 10.3 (corresponding to the June exchange transactions) and with the Company’s Current Report on Form 8-K dated July 8, 2022 as Exhibits 10.1, 10.2, 10.3, 10.4, and 10.5 (corresponding to the July exchange transactions), respectively, each of which is incorporated herein by reference.

During the quarter ended July 30, 2022, the Company also issued 20 shares of its unregistered common stock to holders of the Convertible Senior Notes upon conversion of an immaterial aggregate principal amount of such notes. This share amount represents the conversion value of the Convertible Senior Notes in excess of the principal amount converted. These shares of our common stock were issued in reliance on the exemption from registration provided by Section 3(a)(9) of the Securities Act, and were offset by the receipt of 20 shares of common stock pursuant to the exercise of certain convertible bond hedge transactions.

26

The following table sets forth repurchases of our common stock during the second quarter of 2022:

Period	Total Number of Shares Purchased (a)	Average Price Paid Per Share		Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs (b)	Dollar Value of Shares That May Yet be Purchased Under the Plans or Programs (b)
May 1, 2022 to May 28, 2022	3,483,146	$	80.06	3,467,942	$	1,535,222,307
May 29, 2022 to July 2, 2022	1,352	$	80.78	—	$	1,535,222,307
July 3, 2022 to July 30, 2022	480,740	$	86.96	477,142	$	1,493,693,282
Total	3,965,238	$	80.90	3,945,084

(a)Includes shares withheld from employees to satisfy minimum tax withholding obligations associated with the vesting of restricted stock during the period.

(b)Shares repurchased under our five-year $2.0 billion share repurchase program, which was authorized by the Board of Directors on December 16, 2021.

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ITEM 6.  EXHIBITS

The following exhibits are filed or furnished (as noted) as part of this Quarterly Report on Form 10-Q.

Exhibit Number	Description of Exhibit	Method of Filing
10.1	Form of Note Hedge Early Termination Agreement, dated as of June 23, 2022, by and between DICK’S Sporting Goods, Inc. and the applicable call option counterparty.	Incorporated by reference to Exhibit 10.1 to the Registrant’s Current Report on Form 8-K, File No. 001-31463, filed on June 24, 2022.
10.2	Form of Warrant Early Termination Agreement, dated as of June 23, 2022, by and between DICK’S Sporting Goods, Inc. and the applicable warrant counterparty.	Incorporated by reference to Exhibit 10.2 to the Registrant’s Current Report on Form 8-K, File No. 001-31463, filed on June 24, 2022.
10.3	Form of Exchange Agreement dated as of June 23, 2022, by and between DICK’S Sporting Goods, Inc. and the applicable Noteholder.	Incorporated by reference to Exhibit 10.3 to the Registrant’s Current Report on Form 8-K, File No. 001-31463, filed on June 24, 2022.
10.4	Form of Note Hedge Partial Early Termination Agreement, dated as of July 8, 2022, by and between DICK’S Sporting Goods, Inc. and the applicable call option counterparty.	Incorporated by reference to Exhibit 10.1 to the Registrant’s Current Report on Form 8-K, File No. 001-31463, filed on July 11, 2022.
10.5	Form of Warrant Partial Early Termination Agreement, dated as of July 8, 2022, by and between DICK’S Sporting Goods, Inc. and the applicable warrant counterparty.	Incorporated by reference to Exhibit 10.2 to the Registrant’s Current Report on Form 8-K, File No. 001-31463, filed on July 11, 2022.
10.6	Form of Note Hedge Early Termination Agreement, dated as of July 8, 2022, by and between DICK’S Sporting Goods, Inc. and the applicable call option counterparty.	Incorporated by reference to Exhibit 10.3 to the Registrant’s Current Report on Form 8-K, File No. 001-31463, filed on July 11, 2022.
10.7	Form of Warrant Early Termination Agreement, dated as of July 8, 2022, by and between DICK’S Sporting Goods, Inc. and the applicable warrant counterparty.	Incorporated by reference to Exhibit 10.4 to the Registrant’s Current Report on Form 8-K, File No. 001-31463, filed on July 11, 2022.
10.8	Form of Exchange Agreement dated as of July 8, 2022, by and between DICK’S Sporting Goods, Inc. and the applicable Noteholder.	Incorporated by reference to Exhibit 10.5 to the Registrant’s Current Report on Form 8-K, File No. 001-31463, filed on July 11, 2022.
31.1	Certification of Lauren R. Hobart, President and Chief Executive Officer, dated as of August 24, 2022 and made pursuant to Rule 13a-14 of the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002	Filed herewith
31.2	Certification of Navdeep Gupta, Executive Vice President - Chief Financial Officer, dated as of August 24, 2022 and made pursuant to Rule 13a-14 of the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002	Filed herewith
32.1	Certification of Lauren R. Hobart, President and Chief Executive Officer, dated as of August 24, 2022 and made pursuant to Section 1350, Chapter 63 of Title 18, United States Code, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002	Furnished herewith
32.2	Certification of Navdeep Gupta, Executive Vice President - Chief Financial Officer, dated as of August 24, 2022 and made pursuant to Section 1350, Chapter 63 of Title 18, United States Code, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002	Furnished herewith
101.INS	XBRL Instance Document - The instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document.	Filed herewith

28

101.SCH	XBRL Taxonomy Extension Schema Document	Filed herewith
101.CAL	XBRL Taxonomy Calculation Linkbase Document	Filed herewith
101.DEF	XBRL Taxonomy Definition Linkbase Document	Filed herewith
101.LAB	XBRL Taxonomy Label Linkbase Document	Filed herewith
101.PRE	XBRL Taxonomy Presentation Linkbase Document	Filed herewith
104	Cover Page Interactive Data File (formatted as Inline XBRL with applicable taxonomy extension information contained in Exhibits 101).	Filed herewith

29

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Quarterly Report on Form 10-Q to be signed on August 24, 2022 on its behalf by the undersigned, thereunto duly authorized.

DICK’S SPORTING GOODS, INC.
By:	/s/ LAUREN R. HOBART
	Lauren R. Hobart
	President and Chief Executive Officer
By:	/s/ NAVDEEP GUPTA
	Navdeep Gupta
	Executive Vice President – Chief Financial Officer
	(principal financial and principal accounting officer)

30

EX-31.1

Exhibit 31.1

CERTIFICATIONS

I, Lauren R. Hobart, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q of Dick's Sporting Goods, Inc. (the "registrant");

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5.The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

/s/ LAUREN R. HOBART	Date: August 24, 2022
Lauren R. Hobart
President and Chief Executive Officer

EX-31.2

Exhibit 31.2

CERTIFICATIONS

I, Navdeep Gupta, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q of Dick's Sporting Goods, Inc. (the "registrant");

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5.The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

/s/ NAVDEEP GUPTA	Date: August 24, 2022
Navdeep Gupta
Executive Vice President – Chief Financial Officer

EX-32.1

Exhibit 32.1

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report on Form 10-Q of Dick's Sporting Goods, Inc. (the "Company") for the period ended July 30, 2022, as filed with the Securities and Exchange Commission on the date hereof (the "Report"), I, Lauren R. Hobart, President and Chief Executive Officer of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

(1)The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

(2)The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/ LAUREN R. HOBART	Date: August 24, 2022
Lauren R. Hobart
President and Chief Executive Officer

EX-32.2

Exhibit 32.2

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report on Form 10-Q of Dick's Sporting Goods, Inc. (the "Company") for the period ended July 30, 2022, as filed with the Securities and Exchange Commission on the date hereof (the "Report"), I, Navdeep Gupta, Chief Financial Officer of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

(1)The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

(2)The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/ NAVDEEP GUPTA	Date: August 24, 2022
Navdeep Gupta
Executive Vice President – Chief Financial Officer

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	Jul. 30, 2022	Aug. 19, 2022
Document Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jul. 30, 2022
Document Transition Report	false
Entity File Number	001-31463
Entity Registrant Name	DICK’S SPORTING GOODS, INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	16-1241537
Entity Address, Address Line One	345 Court Street
Entity Address, City or Town	Coraopolis
Entity Address, State or Province	PA
Entity Address, Postal Zip Code	15108
City Area Code	724
Local Phone Number	273-3400
Title of 12(b) Security	Common Stock, $0.01 par value
Trading Symbol	DKS
Security Exchange Name	NYSE
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Entity Shell Company	false
Entity Central Index Key	0001089063
Current Fiscal Year End Date	--01-28
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q2
Amendment Flag	false
Common Stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		55,603,316
Class B Common Stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		23,595,633

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CONSOLIDATED STATEMENTS OF INCOME - UNAUDITED - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 30, 2022	Jul. 31, 2021	Jul. 30, 2022	Jul. 31, 2021
Income Statement [Abstract]
Net sales	$ 3,112,419	$ 3,274,842	$ 5,812,624	$ 6,193,561
Cost of goods sold, including occupancy and distribution costs	1,991,037	1,967,765	3,706,528	3,797,857
GROSS PROFIT	1,121,382	1,307,077	2,106,096	2,395,704
Selling, general and administrative expenses	657,368	640,268	1,272,661	1,248,562
Pre-opening expenses	3,836	3,256	6,736	7,780
INCOME FROM OPERATIONS	460,178	663,553	826,699	1,139,362
Interest expense	25,494	13,801	51,136	27,183
Other expense (income)	7,363	(6,795)	16,385	(14,146)
INCOME BEFORE INCOME TAXES	427,321	656,547	759,178	1,126,325
Provision for income taxes	108,819	161,038	180,117	269,060
NET INCOME	$ 318,502	$ 495,509	$ 579,061	$ 857,265
EARNINGS PER COMMON SHARE:
Basic (in dollars per share)	$ 4.21	$ 5.86	$ 7.63	$ 10.13
Diluted (in dollars per share)	$ 3.25	$ 4.53	$ 5.70	$ 7.96
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING:
Basic (in shares)	75,610	84,512	75,895	84,631
Diluted (in shares)	100,389	109,271	104,509	107,641

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CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - UNAUDITED - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 30, 2022	Jul. 31, 2021	Jul. 30, 2022	Jul. 31, 2021
Statement of Comprehensive Income [Abstract]
NET INCOME	$ 318,502	$ 495,509	$ 579,061	$ 857,265
OTHER COMPREHENSIVE INCOME (LOSS)
Foreign currency translation adjustment, net of tax	4	(21)	(3)	43
TOTAL OTHER COMPREHENSIVE INCOME (LOSS)	4	(21)	(3)	43
COMPREHENSIVE INCOME	$ 318,506	$ 495,488	$ 579,058	$ 857,308

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CONSOLIDATED BALANCE SHEETS - UNAUDITED - USD ($) $ in Thousands	Jul. 30, 2022	Jan. 29, 2022	Jul. 31, 2021
CURRENT ASSETS:
Cash and cash equivalents	$ 1,895,521	$ 2,643,205	$ 2,236,733
Accounts receivable, net	83,151	68,263	88,725
Income taxes receivable	1,277	1,978	700
Inventories, net	2,995,963	2,297,609	2,011,020
Prepaid expenses and other current assets	100,761	95,601	81,758
Total current assets	5,076,673	5,106,656	4,418,936
Property and equipment, net	1,321,737	1,319,681	1,323,174
Operating lease assets	2,071,084	2,044,819	2,083,010
Intangible assets, net	85,553	86,767	88,157
Goodwill	245,857	245,857	245,857
Deferred income taxes	55,873	35,024	34,672
Other assets	208,498	202,872	192,358
TOTAL ASSETS	9,065,275	9,041,676	8,386,164
CURRENT LIABILITIES:
Accounts payable	1,489,321	1,281,322	1,213,449
Accrued expenses	503,759	620,143	564,400
Operating lease liabilities	482,195	480,318	468,667
Income taxes payable	12,673	13,464	83,645
Deferred revenue and other liabilities	294,003	317,433	237,143
Total current liabilities	2,781,951	2,712,680	2,567,304
LONG-TERM LIABILITIES:
Revolving credit borrowings	0	0	0
Senior notes due 2032 and 2052	1,481,886	1,481,443	0
Convertible senior notes due 2025	368,478	449,287	433,456
Long-term operating lease liabilities	2,096,410	2,099,146	2,173,897
Other long-term liabilities	163,041	197,534	206,132
Total long-term liabilities	4,109,815	4,227,410	2,813,485
Commitments and contingencies
STOCKHOLDERS' EQUITY:
Additional paid-in capital	1,384,949	1,488,834	1,468,217
Retained earnings	4,493,516	3,956,602	3,857,257
Accumulated other comprehensive loss	(85)	(82)	(6)
Treasury stock, at cost	(3,705,629)	(3,344,524)	(2,320,935)
Total stockholders' equity	2,173,509	2,101,586	3,005,375
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	9,065,275	9,041,676	8,386,164
Common Stock
STOCKHOLDERS' EQUITY:
Common stock	522	520	605
Class B Common Stock
STOCKHOLDERS' EQUITY:
Common stock	$ 236	$ 236	$ 237

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CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - UNAUDITED - USD ($) $ in Thousands	Total	Cumulative Effect, Period of Adoption, Adjustment	Common Stock Common Stock	Common Stock Class B Common Stock	Additional Paid-In Capital	Additional Paid-In Capital Cumulative Effect, Period of Adoption, Adjustment	Retained Earnings	Retained Earnings Cumulative Effect, Period of Adoption, Adjustment	Accumulated Other Comprehensive (Loss) Income	Treasury Stock
BALANCE (in shares) at Jan. 30, 2021			61,195,000	23,736,000
BALANCE at Jan. 30, 2021	$ 2,339,534		$ 612	$ 237	$ 1,442,298		$ 3,064,702		$ (49)	$ (2,168,266)
Increase (Decrease) in Stockholders' Equity
Exercise of stock options (in shares)			297,000
Exercise of stock options	12,333		$ 3		12,330
Restricted stock vested (in shares)			791,000
Restricted stock vested	0		$ 8		(8)
Minimum tax withholding requirements (in shares)			(237,000)
Minimum tax withholding requirements	(18,601)		$ (3)		(18,598)
Net income	361,756						361,756
Stock-based compensation	12,870				12,870
Foreign currency translation adjustment, net of taxes	64								64
Purchase of shares for treasury (in shares)			(1,030,000)
Purchase of shares for treasury	(76,841)		$ (10)							(76,831)
Cash dividend declared	(32,391)						(32,391)
BALANCE at May. 01, 2021	2,598,724		$ 610	$ 237	1,448,892		3,394,067		15	(2,245,097)
BALANCE (in shares) at May. 01, 2021			61,016,000	23,736,000
BALANCE (in shares) at Jan. 30, 2021			61,195,000	23,736,000
BALANCE at Jan. 30, 2021	2,339,534		$ 612	$ 237	1,442,298		3,064,702		(49)	(2,168,266)
Increase (Decrease) in Stockholders' Equity
Net income	857,265
BALANCE at Jul. 31, 2021	3,005,375		$ 605	$ 237	1,468,217		3,857,257		(6)	(2,320,935)
BALANCE (in shares) at Jul. 31, 2021			60,458,000	23,696,000
BALANCE (in shares) at May. 01, 2021			61,016,000	23,736,000
BALANCE at May. 01, 2021	2,598,724		$ 610	$ 237	1,448,892		3,394,067		15	(2,245,097)
Increase (Decrease) in Stockholders' Equity
Exchange of Class B common stock for common stock (in shares)			40,000	(40,000)
Exchange of Class B common stock for common stock	0		$ 0	$ 0
Exercise of stock options (in shares)			189,000
Exercise of stock options	8,315		$ 2		8,313
Restricted stock vested (in shares)			31,000
Restricted stock vested	0		$ 1		(1)
Minimum tax withholding requirements (in shares)			(10,000)
Minimum tax withholding requirements	(1,531)		$ 0		(1,531)
Net income	495,509						495,509
Stock-based compensation	12,544				12,544
Foreign currency translation adjustment, net of taxes	(21)								(21)
Purchase of shares for treasury (in shares)			(808,000)
Purchase of shares for treasury	(75,846)		$ (8)							(75,838)
Cash dividend declared	(32,319)						(32,319)
BALANCE at Jul. 31, 2021	3,005,375		$ 605	$ 237	1,468,217		3,857,257		(6)	(2,320,935)
BALANCE (in shares) at Jul. 31, 2021			60,458,000	23,696,000
BALANCE (in shares) at Jan. 29, 2022			51,989,000	23,621,000
BALANCE at Jan. 29, 2022	2,101,586	$ (84,729)	$ 520	$ 236	1,488,834	$ (118,961)	3,956,602	$ 34,232	(82)	(3,344,524)
Increase (Decrease) in Stockholders' Equity
Net Shares Issued for the Note Exchanges			1,833,000
Exchange of convertible senior notes due 2025 and partial unwind of convertible bond hedge and warrants	3,811		$ 18		3,793
Exercise of stock options (in shares)			389,000
Exercise of stock options	12,665		$ 4		12,661
Restricted stock vested (in shares)			933,000
Restricted stock vested	0		$ 9		(9)
Minimum tax withholding requirements (in shares)			(332,000)
Minimum tax withholding requirements	(33,287)		$ (3)		(33,284)
Net income	260,559						260,559
Stock-based compensation	15,177				15,177
Foreign currency translation adjustment, net of taxes	(7)								(7)
Purchase of shares for treasury (in shares)			(417,000)
Purchase of shares for treasury	(42,227)		$ (4)							(42,223)
Cash dividend declared	(38,942)						(38,942)
BALANCE at Apr. 30, 2022	2,194,606		$ 544	$ 236	1,368,211		4,212,451		(89)	(3,386,747)
BALANCE (in shares) at Apr. 30, 2022			54,395,000	23,621,000
BALANCE (in shares) at Jan. 29, 2022			51,989,000	23,621,000
BALANCE at Jan. 29, 2022	2,101,586	$ (84,729)	$ 520	$ 236	1,488,834	$ (118,961)	3,956,602	$ 34,232	(82)	(3,344,524)
Increase (Decrease) in Stockholders' Equity
Net income	579,061
BALANCE at Jul. 30, 2022	2,173,509		$ 522	$ 236	1,384,949		4,493,516		(85)	(3,705,629)
BALANCE (in shares) at Jul. 30, 2022			52,211,000	23,621,000
BALANCE (in shares) at Apr. 30, 2022			54,395,000	23,621,000
BALANCE at Apr. 30, 2022	2,194,606		$ 544	$ 236	1,368,211		4,212,451		(89)	(3,386,747)
Increase (Decrease) in Stockholders' Equity
Net Shares Issued for the Note Exchanges			1,675,000
Exchange of convertible senior notes due 2025 and partial unwind of convertible bond hedge and warrants	5,767		$ 17		5,750
Exercise of stock options (in shares)			52,000
Exercise of stock options	1,332		$ 1		1,331
Restricted stock vested (in shares)			47,000
Restricted stock vested	0		$ 0		0
Minimum tax withholding requirements (in shares)			(13,000)
Minimum tax withholding requirements	(1,860)		$ 0		(1,860)
Net income	318,502						318,502
Stock-based compensation	11,517				11,517
Foreign currency translation adjustment, net of taxes	4								4
Purchase of shares for treasury (in shares)			(3,945,000)
Purchase of shares for treasury	(318,922)		$ (40)							(318,882)
Cash dividend declared	(37,437)						(37,437)
BALANCE at Jul. 30, 2022	$ 2,173,509		$ 522	$ 236	$ 1,384,949		$ 4,493,516		$ (85)	$ (3,705,629)
BALANCE (in shares) at Jul. 30, 2022			52,211,000	23,621,000

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CONSOLIDATED STATEMENTS OF CASH FLOWS - UNAUDITED - USD ($) $ in Thousands	6 Months Ended
	Jul. 30, 2022	Jul. 31, 2021
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$ 579,061	$ 857,265
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	164,269	158,009
Amortization of deferred financing fees and debt discount	2,601	14,963
Deferred income taxes	8,416	16,803
Stock-based compensation	26,694	25,414
Other, net	6,852	0
Changes in assets and liabilities:
Accounts receivable	(28,971)	(22,754)
Inventories	(698,354)	(57,452)
Prepaid expenses and other assets	(9,430)	1,559
Accounts payable	189,082	13,578
Accrued expenses	(90,127)	35,853
Income taxes payable / receivable	877	48,344
Construction allowances provided by landlords	29,273	18,344
Deferred revenue and other liabilities	(35,280)	(24,563)
Operating lease assets and liabilities	(43,219)	(54,582)
Net cash provided by operating activities	101,744	1,030,781
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures	(167,693)	(167,689)
Proceeds from sale of other assets	14,261	9,671
Deposits and other investing activities	(17,580)	(19,130)
Net cash used in investing activities	(171,012)	(177,148)
CASH FLOWS FROM FINANCING ACTIVITIES:
Principal paid in connection with exchange of convertible senior notes due 2025	(200,000)	0
Payments on other long-term debt and finance lease obligations	(361)	(385)
Proceeds from exercise of stock options	13,997	20,648
Minimum tax withholding requirements	(35,147)	(20,132)
Cash paid for treasury stock	(392,882)	(152,687)
Cash dividends paid to stockholders	(82,937)	(64,232)
Increase (decrease) in bank overdraft	18,917	(58,222)
Net cash used in financing activities	(678,413)	(275,010)
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS	(3)	43
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS	(747,684)	578,666
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD	2,643,205	1,658,067
CASH AND CASH EQUIVALENTS, END OF PERIOD	1,895,521	2,236,733
Supplemental disclosure of cash flow information:
Accrued property and equipment	40,955	37,468
Cash paid for interest	38,406	11,487
Cash paid for income taxes	$ 172,212	$ 210,168

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CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - UNAUDITED - Parentheticals - USD ($) $ in Thousands	3 Months Ended
	Jul. 30, 2022	Apr. 30, 2022	Jul. 31, 2021	May 01, 2021
Statement of Stockholders' Equity [Abstract]
Foreign currency translation adjustment, taxes	$ (1)	$ 2	$ 6	$ (20)
Cash dividend declared per share (in dollars per share)	$ 0.4875	$ 0.4875	$ 0.3625	$ 0.3625

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Description of Business and Basis of Presentation

6 Months Ended

Jul. 30, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Description of Business and Basis of Presentation

Description of Business and Basis of Presentation

DICK’S Sporting Goods, Inc. (together with its subsidiaries, referred to as “the Company”, “we”, “us” and “our” unless specified otherwise) is a leading omni-channel sporting goods retailer offering an extensive assortment of authentic, high-quality sports equipment, apparel, footwear and accessories through a blend of dedicated teammates, in-store services and unique specialty shop-in-shops. In addition to DICK’S Sporting Goods stores, the Company also owns and operates Golf Galaxy, Field & Stream, Public Lands and Going Going Gone! specialty concept stores, and offers its products both online and through its mobile apps. The Company also owns and operates DICK’S House of Sport and Golf Galaxy Performance Center, as well as GameChanger, a youth sports mobile app for scheduling, communications, live scorekeeping, and video streaming. When used in this Quarterly Report on Form 10-Q, unless the context otherwise requires or otherwise specifies, any reference to a “year” is to the Company’s fiscal year.

Basis of Presentation and Use of Estimates

The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with the requirements for Quarterly Reports on Form 10-Q and do not include all the disclosures normally required in annual consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The interim consolidated financial statements are unaudited and have been prepared on the same basis as the annual audited consolidated financial statements. In the opinion of management, such unaudited consolidated financial statements include all adjustments (consisting only of normal recurring adjustments) necessary for a fair presentation of the interim financial information. 

The unaudited interim financial information should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended January 29, 2022 as filed with the Securities and Exchange Commission on March 23, 2022. Operating results for the 13 and 26 weeks ended July 30, 2022 are not necessarily indicative of the results that may be expected for the fiscal year ending January 28, 2023 or any other period.

Recently Adopted Accounting Pronouncement

Convertible Instruments

In August 2020, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2020-06, “Debt - Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging - Contracts in Entity’s Own Equity (Subtopic 815-40),” which removes the separation models for convertible debt with cash conversion or beneficial conversion features. ASU 2020-06 also requires the application of the if-converted method for calculating earnings per diluted share, under which the Company must assume that any conversion of its convertible senior notes due 2025 (the “Convertible Senior Notes”) will be satisfied entirely in common stock.

The Company adopted ASU 2020-06 on the first day of fiscal 2022 using the modified retrospective approach, which resulted in the following adjustments to the Consolidated Balance Sheet (in millions):

	Last Day of Fiscal 2021		Adoption of ASU 2020-06		First Day of Fiscal 2022
Balance sheet line item
Convertible senior notes due 2025	$	449.3	$	114.0	$	563.3
Net deferred tax assets	$	35.0	$	29.3	$	64.3
Additional paid-in capital	$	1,488.8	$	(119.0)	$	1,369.8
Retained earnings	$	3,956.6	$	34.2	$	3,990.8

Following the adoption of ASU 2020-06, the embedded conversion feature of the Convertible Senior Notes is no longer separately presented within stockholders’ equity, eliminating the non-cash debt discount. Accordingly, the Company’s effective interest rate on the Convertible Senior Notes decreased from 11.6% to 3.9% upon adoption, resulting in a $13.2 million reduction in non-cash interest expense for the 26 weeks ended July 30, 2022 as compared to the same prior year period. The Company anticipates that fiscal 2022 earnings will not include $27.4 million of pre-tax non-cash interest expense that was incurred in fiscal 2021 as a result of the adoption of ASU 2020-06.

Despite the Company’s intention to settle the principal amount of the Convertible Senior Notes in cash, the application of the if-converted method requires earnings per diluted share to reflect the assumed share conversion of the Convertible Senior Notes, which was 11.6 million dilutive shares as of July 30, 2022. The Company used the treasury stock method prior to adoption of ASU 2020-06. The impact of adoption was not material to earnings per diluted share.

Recently Issued Accounting Pronouncement

Reference Rate Reform

In March 2020, the FASB issued ASU 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” The update provides optional guidance for a limited period of time to ease potential accounting impacts associated with transitioning away from reference rates that are expected to be discontinued, such as the London Interbank Offered Rate (“LIBOR”). The amendments in this ASU can be applied anytime between the first quarter of fiscal 2020 and the fourth quarter of fiscal 2022 and apply only to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued. The Company’s primary association with LIBOR was through interest rates applicable to loans under its former revolving credit facility, which was terminated in January 2022 and replaced with a new revolving credit facility that uses an adjusted secured overnight financing rate (“SOFR”). Accordingly, the impact of ASU 2020-04 on the Company's financial statements and related disclosures is not expected to be significant.

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Earnings Per Common Share

6 Months Ended

Jul. 30, 2022

Earnings Per Share [Abstract]

Earnings Per Common Share

Earnings Per Common Share

Basic earnings per common share is computed based on the weighted average number of shares of common stock outstanding during the period. Diluted earnings per common share is computed based on the weighted average number of shares of common stock outstanding, plus the effect of dilutive potential common shares, which include shares the Company could be obligated to issue from its Convertible Senior Notes and warrants, and stock-based awards, such as stock options and restricted stock. Dilutive potential common shares are excluded from the computation of earnings per share if their effect is anti-dilutive.

For both periods presented, dilutive potential common shares for the Company’s stock-based awards and warrants were determined using the treasury stock method. For the 13 and 26 weeks ended July 31, 2021, the dilutive effect of the Convertible Senior Notes was calculated using the treasury stock method; however, upon the adoption of ASU 2020-06, the Company was required to calculate diluted earnings per common share using the if-converted method, which was applied to the 13 and 26 weeks ended July 30, 2022. See Note 1 – Description of Business and Basis of Presentation for further discussion.

The computations for basic and diluted earnings per common share were as follows for the periods presented (in thousands, except per share data):

	13 Weeks Ended				26 Weeks Ended
	July 30, 2022		July 31, 2021		July 30, 2022		July 31, 2021
Numerator:
Numerator for basic earnings per common share - Net income	$	318,502	$	495,509	$	579,061	$	857,265
Effect of dilutive securities
Interest expense associated with Convertible Senior Notes, net of tax	7,992		—		16,201		—
Numerator for diluted earnings per common share - Net income after the effect of dilutive securities	$	326,494	$	495,509	$	595,262	$	857,265
Denominator:
Weighted average common shares outstanding - basic	75,610		84,512		75,895		84,631
Dilutive effect of stock-based awards	4,922		6,297		5,476		6,352
Dilutive effect of warrants	5,976		7,782		7,657		6,711
Dilutive effect of Convertible Senior Notes	13,881		10,680		15,481		9,947
Weighted average common shares outstanding - diluted	100,389		109,271		104,509		107,641
Earnings per common share:
Basic	$	4.21	$	5.86	$	7.63	$	10.13
Diluted	$	3.25	$	4.53	$	5.70	$	7.96
Stock-based awards excluded from diluted shares	542		2		278		82

The dilutive effect of the Convertible Senior Notes included 8.6 million and 10.7 million shares for the 13 weeks ended July 30, 2022 and July 31, 2021, respectively, and 10.2 million and 9.9 million shares for the 26 weeks ended July 30, 2022 and July 31, 2021, respectively, that are designed to be offset at settlement by shares delivered from the bond hedge purchased by the Company. The shares provided by the bond hedge are anti-dilutive; accordingly, they are not treated as a reduction to diluted weighted average shares outstanding for any periods presented. In addition, the dilutive effect of the Convertible Senior Notes for the 13 and 26 weeks ended July 30, 2022 included approximately 5.3 million shares related to the principal amount of the Convertible Senior Notes, which the Company intends to settle in cash.

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Fair Value Measurements

6 Months Ended

Jul. 30, 2022

Fair Value Disclosures [Abstract]

Fair Value Measurements

Fair Value Measurements

Accounting Standard Codification (“ASC”) 820, “Fair Value Measurement and Disclosures,” outlines a valuation framework and creates a fair value hierarchy for assets and liabilities as follows:

Level 1:  Observable inputs such as quoted prices in active markets;

Level 2:  Inputs, other than quoted prices in active markets, that are observable either directly or indirectly; and

Level 3:  Unobservable inputs in which there is little or no market data, which require the reporting entity to develop

its own assumptions.

Recurring

The Company measures its deferred compensation plan assets held in trust at fair value on a recurring basis using Level 1 inputs. Such assets consist of investments in various mutual funds made by eligible individuals as part of the Company’s deferred compensation plans. As of July 30, 2022, January 29, 2022 and July 31, 2021, the fair value of the Company’s deferred compensation plans was $135.5 million, $150.8 million, and $148.2 million, respectively, as determined by quoted prices in active markets.

The Company discloses the fair value of its senior notes due 2032 and 2052 and Convertible Senior Notes using Level 2 inputs, which are based on quoted prices for similar or identical instruments in inactive markets, as follows (in millions):

	July 30, 2022				January 29, 2022				July 31, 2021
	Carrying Value		Fair Value		Carrying Value		Fair Value		Carrying Value		Fair Value
Senior notes due 2032	$	742.1	$	615.5	$	741.7	$	733.1	$	—	$	—
Senior notes due 2052	$	739.8	$	518.6	$	739.7	$	711.3	$	—	$	—
Convertible Senior Notes	$	368.5	$	1,087.6	$	449.3	$	2,016.3	$	433.5	$	1,768.8

Prior to the adoption of ASU 2020-06, the carrying value of the Convertible Senior Notes excluded amounts classified within additional paid-in capital and any unamortized discounts as of January 29, 2022 and July 31, 2021. See Note 1 – Description of Business and Basis of Presentation for further information.

Due to their short-term nature, the fair value of cash and cash equivalents, accounts receivable, accounts payable and certain other liabilities approximated their carrying values at July 30, 2022, January 29, 2022, and July 31, 2021.

Nonrecurring

Assets and liabilities recognized or disclosed at fair value on a nonrecurring basis may include property and equipment, operating lease assets, goodwill and other intangible assets, equity and other assets. These assets are required to be assessed for impairment when events or circumstances indicate that the carrying value may not be recoverable, and at least annually, for goodwill and indefinite-lived intangible assets. In the event that an impairment is required, the asset is adjusted to fair value, using Level 3 inputs.

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Leases

6 Months Ended

Jul. 30, 2022

Leases [Abstract]

Leases

Leases

The Company leases all of its stores, three of its distribution centers and certain equipment under non-cancellable operating leases that expire at various dates through 2033. The Company’s stores generally have initial lease terms of 10 to 15 years and contain multiple five-year renewal options and rent escalation provisions. The lease agreements are primarily for the payment of minimum annual rentals, costs of utilities, property taxes, maintenance, common areas and insurance.

Supplemental cash flow information related to operating leases for the 26 weeks ended July 30, 2022 and July 31, 2021 were as follows (in millions):

	26 Weeks Ended
	July 30, 2022		July 31, 2021
Cash paid for amounts included in the measurement of operating lease liabilities	$	332.4	$	342.1
Non-cash operating lease assets and liabilities obtained in exchange for new or modified leases	$	254.7	$	169.0

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Convertible Senior Notes

6 Months Ended

Jul. 30, 2022

Debt Disclosure [Abstract]

Convertible Senior Notes

5. Convertible Senior Notes

Overview

In April 2020, the Company issued an aggregate $575.0 million of 3.25% Convertible Senior Notes due 2025, which included the exercise of the full $75.0 million over-allotment option, receiving proceeds of $557.6 million, net of $17.4 million of transaction fees and other third-party offering expenses. The Convertible Senior Notes are scheduled to mature on April 15, 2025 and accrue interest at a rate of 3.25% per annum, payable semi-annually in arrears on April 15 and October 15.

As of July 30, 2022, the conversion rate for the Convertible Senior Notes was 30.8280, which represents a conversion price of $32.44 per share. The difference between the initial conversion rate and the conversion rate as of July 30, 2022 is due to dividends that have been declared and paid on shares of the Company’s common stock following the issuance of the Convertible Senior Notes.

Upon conversion, the Company may settle the Convertible Senior Notes for cash, shares of the Company’s common stock, or a combination thereof, at the Company’s option. The Company also has the ability to irrevocably elect to settle the Convertible Senior Notes in cash without amending the indentures or the Convertible Senior Notes themselves. The Company currently intends to settle the principal amount of the Convertible Senior Notes in cash and any conversion premium in shares of its common stock.

Convertible Senior Notes Exchanges

In the first quarter of 2022, the Company entered into agreements with certain holders of the Convertible Senior Notes to exchange $100.0 million in aggregate principal amount of the Convertible Senior Notes for a combination of cash and shares of the Company’s common stock. In the second quarter of 2022, the Company entered into agreements with certain holders of the Convertible Senior Notes to exchange an additional $100.0 million aggregate principal amount for a combination of cash and shares of the Company’s common stock in two separate transactions. The first and second quarter payments included all accrued and unpaid interest on the amounts exchanged. Concurrently with each of the exchanges in the first and second quarter of 2022 (collectively, the “Notes Exchanges”), the Company entered into agreements with certain counterparties to terminate a proportionate amount of the convertible bond hedge and warrant agreements that were entered into by the Company in April 2020 in connection with the issuance of the Convertible Senior Notes.

In connection with the Notes Exchanges, the Company recognized pre-tax inducement charges of approximately $6.6 million and $12.3 million during the 13 and 26 weeks ended July 30, 2022, respectively, which were recorded within interest expense on the Consolidated Statement of Income. The Company also paid a total of $200.0 million to noteholders to redeem the principal amount of the Convertible Senior Notes, which had a carrying value totaling $196.3 million, and issued approximately 3.5 million shares of the Company's common stock. Following the Notes Exchanges, $375.0 million aggregate principal amount of the Convertible Senior Notes remain outstanding at July 30, 2022. In addition, approximately 11.6 million shares underlie the Convertible Senior Notes, the convertible bond hedge and the warrants at July 30, 2022.

Financial Statement Impacts

As discussed in Note 1 – Description of Business and Basis of Presentation, following the adoption of ASU 2020-06, the Convertible Senior Notes are recorded entirely as a liability. A summary of the composition of the net carrying value of the Convertible Senior Notes is as follows:

(in millions)	July 30, 2022		January 29, 2022		July 31, 2021
Principal	$	375.0	$	575.0	$	575.0
Debt discount	(6.5)		(125.7)		(141.5)
Carrying amount	$	368.5	$	449.3	$	433.5
Equity component (*)	N/A		$	160.7	$	160.7

(*) Included in additional paid-in capital on the Consolidated Balance Sheets as of January 29, 2022 and July 31, 2021.

During the 13 and 26 weeks ended July 30, 2022, the Company recognized $10.8 million and $21.9 million of interest expense related to the Convertible Senior Notes, or $8.0 million and $16.2 million, net of tax, respectively. Interest expense related to the Convertible Senior Notes included the aforementioned inducement charges and $0.7 million and $1.5 million of non-cash amortization of the debt discount during the 13 and 26 weeks ended July 30, 2022, respectively. During the 13 and 26 weeks ended July 31, 2021, the Company recognized $12.3 million and $24.3 million of interest expense related to the Convertible Senior Notes, of which $7.7 million and $15.0 million, respectively, was attributed to non-cash amortization of the debt discount.

At July 30, 2022, the stock price conditions under which the Convertible Senior Notes could be convertible at the holders’ option were met. The Company has not received any material conversion requests through the filing date of this Form 10-Q. Because the closing price of the Company’s common stock of $93.59 at the end of the current quarter exceeded the conversion price of $32.44, the if-converted value exceeded the principal amount outstanding of the Convertible Senior Notes by approximately $707.0 million at July 30, 2022.

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Subsequent Event	6 Months Ended
	Jul. 30, 2022
Subsequent Events [Abstract]
Subsequent Event	Subsequent EventOn August 22, 2022, the Company's Board of Directors authorized and declared a quarterly cash dividend in the amount of $0.4875 per share on the Company's common stock and Class B common stock. The dividend is payable on September 30, 2022 to stockholders of record as of the close of business on September 9, 2022.

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Description of Business and Basis of Presentation (Policies)

6 Months Ended

Jul. 30, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Recently Adopted Accounting Pronouncements / Recently Issued Accounting Pronouncements

Recently Adopted Accounting Pronouncement

Convertible Instruments

In August 2020, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2020-06, “Debt - Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging - Contracts in Entity’s Own Equity (Subtopic 815-40),” which removes the separation models for convertible debt with cash conversion or beneficial conversion features. ASU 2020-06 also requires the application of the if-converted method for calculating earnings per diluted share, under which the Company must assume that any conversion of its convertible senior notes due 2025 (the “Convertible Senior Notes”) will be satisfied entirely in common stock.

The Company adopted ASU 2020-06 on the first day of fiscal 2022 using the modified retrospective approach, which resulted in the following adjustments to the Consolidated Balance Sheet (in millions):

	Last Day of Fiscal 2021		Adoption of ASU 2020-06		First Day of Fiscal 2022
Balance sheet line item
Convertible senior notes due 2025	$	449.3	$	114.0	$	563.3
Net deferred tax assets	$	35.0	$	29.3	$	64.3
Additional paid-in capital	$	1,488.8	$	(119.0)	$	1,369.8
Retained earnings	$	3,956.6	$	34.2	$	3,990.8

Following the adoption of ASU 2020-06, the embedded conversion feature of the Convertible Senior Notes is no longer separately presented within stockholders’ equity, eliminating the non-cash debt discount. Accordingly, the Company’s effective interest rate on the Convertible Senior Notes decreased from 11.6% to 3.9% upon adoption, resulting in a $13.2 million reduction in non-cash interest expense for the 26 weeks ended July 30, 2022 as compared to the same prior year period. The Company anticipates that fiscal 2022 earnings will not include $27.4 million of pre-tax non-cash interest expense that was incurred in fiscal 2021 as a result of the adoption of ASU 2020-06.

Despite the Company’s intention to settle the principal amount of the Convertible Senior Notes in cash, the application of the if-converted method requires earnings per diluted share to reflect the assumed share conversion of the Convertible Senior Notes, which was 11.6 million dilutive shares as of July 30, 2022. The Company used the treasury stock method prior to adoption of ASU 2020-06. The impact of adoption was not material to earnings per diluted share.

Recently Issued Accounting Pronouncement

Reference Rate Reform

In March 2020, the FASB issued ASU 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” The update provides optional guidance for a limited period of time to ease potential accounting impacts associated with transitioning away from reference rates that are expected to be discontinued, such as the London Interbank Offered Rate (“LIBOR”). The amendments in this ASU can be applied anytime between the first quarter of fiscal 2020 and the fourth quarter of fiscal 2022 and apply only to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued. The Company’s primary association with LIBOR was through interest rates applicable to loans under its former revolving credit facility, which was terminated in January 2022 and replaced with a new revolving credit facility that uses an adjusted secured overnight financing rate (“SOFR”). Accordingly, the impact of ASU 2020-04 on the Company's financial statements and related disclosures is not expected to be significant.

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Description of Business and Basis of Presentation (Tables)

6 Months Ended

Jul. 30, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Accounting Standards Update and Change in Accounting Principle

The Company adopted ASU 2020-06 on the first day of fiscal 2022 using the modified retrospective approach, which resulted in the following adjustments to the Consolidated Balance Sheet (in millions):

	Last Day of Fiscal 2021		Adoption of ASU 2020-06		First Day of Fiscal 2022
Balance sheet line item
Convertible senior notes due 2025	$	449.3	$	114.0	$	563.3
Net deferred tax assets	$	35.0	$	29.3	$	64.3
Additional paid-in capital	$	1,488.8	$	(119.0)	$	1,369.8
Retained earnings	$	3,956.6	$	34.2	$	3,990.8

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Earnings Per Common Share (Table)

6 Months Ended

Jul. 30, 2022

Earnings Per Share [Abstract]

Schedule of the computations for basic and diluted earnings per common share

The computations for basic and diluted earnings per common share were as follows for the periods presented (in thousands, except per share data):

	13 Weeks Ended				26 Weeks Ended
	July 30, 2022		July 31, 2021		July 30, 2022		July 31, 2021
Numerator:
Numerator for basic earnings per common share - Net income	$	318,502	$	495,509	$	579,061	$	857,265
Effect of dilutive securities
Interest expense associated with Convertible Senior Notes, net of tax	7,992		—		16,201		—
Numerator for diluted earnings per common share - Net income after the effect of dilutive securities	$	326,494	$	495,509	$	595,262	$	857,265
Denominator:
Weighted average common shares outstanding - basic	75,610		84,512		75,895		84,631
Dilutive effect of stock-based awards	4,922		6,297		5,476		6,352
Dilutive effect of warrants	5,976		7,782		7,657		6,711
Dilutive effect of Convertible Senior Notes	13,881		10,680		15,481		9,947
Weighted average common shares outstanding - diluted	100,389		109,271		104,509		107,641
Earnings per common share:
Basic	$	4.21	$	5.86	$	7.63	$	10.13
Diluted	$	3.25	$	4.53	$	5.70	$	7.96
Stock-based awards excluded from diluted shares	542		2		278		82

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Fair Value Measurements (Tables)

6 Months Ended

Jul. 30, 2022

Fair Value Disclosures [Abstract]

Schedule of carrying values and estimated fair values of debt instruments

The Company discloses the fair value of its senior notes due 2032 and 2052 and Convertible Senior Notes using Level 2 inputs, which are based on quoted prices for similar or identical instruments in inactive markets, as follows (in millions):

	July 30, 2022				January 29, 2022				July 31, 2021
	Carrying Value		Fair Value		Carrying Value		Fair Value		Carrying Value		Fair Value
Senior notes due 2032	$	742.1	$	615.5	$	741.7	$	733.1	$	—	$	—
Senior notes due 2052	$	739.8	$	518.6	$	739.7	$	711.3	$	—	$	—
Convertible Senior Notes	$	368.5	$	1,087.6	$	449.3	$	2,016.3	$	433.5	$	1,768.8

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Leases (Table)

6 Months Ended

Jul. 30, 2022

Leases [Abstract]

Other information related to operating leases

Supplemental cash flow information related to operating leases for the 26 weeks ended July 30, 2022 and July 31, 2021 were as follows (in millions):

	26 Weeks Ended
	July 30, 2022		July 31, 2021
Cash paid for amounts included in the measurement of operating lease liabilities	$	332.4	$	342.1
Non-cash operating lease assets and liabilities obtained in exchange for new or modified leases	$	254.7	$	169.0

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Convertible Senior Notes (Table)

6 Months Ended

Jul. 30, 2022

Debt Disclosure [Abstract]

Summary of the principal, unamortized debt discount including debt issuance costs, and net carrying value of the liability component of the Convertible Senior Notes

As discussed in Note 1 – Description of Business and Basis of Presentation, following the adoption of ASU 2020-06, the Convertible Senior Notes are recorded entirely as a liability. A summary of the composition of the net carrying value of the Convertible Senior Notes is as follows:

(in millions)	July 30, 2022		January 29, 2022		July 31, 2021
Principal	$	375.0	$	575.0	$	575.0
Debt discount	(6.5)		(125.7)		(141.5)
Carrying amount	$	368.5	$	449.3	$	433.5
Equity component (*)	N/A		$	160.7	$	160.7

(*) Included in additional paid-in capital on the Consolidated Balance Sheets as of January 29, 2022 and July 31, 2021.

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Description of Business and Basis of Presentation (Details) - USD ($) $ in Thousands, shares in Millions	6 Months Ended
	Jul. 30, 2022	Jan. 30, 2022	Jan. 29, 2022	Jul. 31, 2021
New Accounting Pronouncements or Change in Accounting Principle
Convertible senior notes due 2025	$ 368,478		$ 449,287	$ 433,456
Net deferred tax assets	55,873		35,024	34,672
Additional paid-in capital	1,384,949		1,488,834	1,468,217
Retained earnings	$ 4,493,516		$ 3,956,602	$ 3,857,257
Convertible Senior Notes
New Accounting Pronouncements or Change in Accounting Principle
Interest rate, effective percentage			11.60%
Convertible Bond Hedge and Warrant Transactions
New Accounting Pronouncements or Change in Accounting Principle
Number of securities called by warrants or rights (in shares)	11.6
Accounting Standards Update 2020-06
New Accounting Pronouncements or Change in Accounting Principle
Pre-Tax non-cash interest expense excluded from earnings	$ 27,400
Cumulative Effect, Period of Adoption, Adjustment | Accounting Standards Update 2020-06
New Accounting Pronouncements or Change in Accounting Principle
Convertible senior notes due 2025		$ 114,000
Net deferred tax assets		29,300
Additional paid-in capital		(119,000)
Retained earnings		34,200
Cumulative Effect, Period of Adoption, Adjustment | Accounting Standards Update 2020-06 | Convertible Senior Notes
New Accounting Pronouncements or Change in Accounting Principle
Reduction in non-cash interest expense for period presented	$ 13,200
Cumulative Effect, Period of Adoption, Adjusted Balance
New Accounting Pronouncements or Change in Accounting Principle
Convertible senior notes due 2025		563,300
Net deferred tax assets		64,300
Additional paid-in capital		1,369,800
Retained earnings		$ 3,990,800
Cumulative Effect, Period of Adoption, Adjusted Balance | Accounting Standards Update 2020-06 | Convertible Senior Notes
New Accounting Pronouncements or Change in Accounting Principle
Interest rate, effective percentage		3.90%

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Earnings Per Common Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended				6 Months Ended
	Jul. 30, 2022	Apr. 30, 2022	Jul. 31, 2021	May 01, 2021	Jul. 30, 2022	Jul. 31, 2021
Earnings Per Share [Abstract]
Net income	$ 318,502	$ 260,559	$ 495,509	$ 361,756	$ 579,061	$ 857,265
Interest expense associated with Convertible Senior Notes, net of tax	7,992		0		16,201	0
Numerator for diluted earnings per common share - Net income after the effect of dilutive securities	$ 326,494		$ 495,509		$ 595,262	$ 857,265
Weighted average common shares outstanding - basic (in shares)	75,610		84,512		75,895	84,631
Dilutive effect of stock-based awards (in shares)	4,922		6,297		5,476	6,352
Dilutive effect of warrants (in shares)	5,976		7,782		7,657	6,711
Dilutive effect of Convertible Senior Notes (in shares)	13,881		10,680		15,481	9,947
Weighted average common shares outstanding - diluted (in shares)	100,389		109,271		104,509	107,641
Earnings per common share (in dollars per share) - basic	$ 4.21		$ 5.86		$ 7.63	$ 10.13
Earnings per common share (in dollars per share) - diluted	$ 3.25		$ 4.53		$ 5.70	$ 7.96
Stock-based awards excluded from diluted shares
Dilutive effect of Convertible Senior Notes (in shares)	13,881		10,680		15,481	9,947
Number of shares necessary to settle the principle amount of the Company’s Convertible Senior Notes	5,300				5,300
Incremental common shares attributable to convertible debt, excluding principal	8,600		10,700		10,200	9,900
Share-based Payment Arrangement
Stock-based awards excluded from diluted shares
Stock-based awards excluded from diluted shares (in shares)	542		2		278	82

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Fair Value Measurements - Narrative (Details) - USD ($) $ in Millions	Jul. 30, 2022	Jan. 29, 2022	Jul. 31, 2021
Level 1
Fair Value Measurements
Deferred compensation plan assets held in trust	$ 135.5	$ 150.8	$ 148.2

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Fair Value Measurements - Schedule of Carrying and Estimated Fair Value (Details) - USD ($) $ in Thousands	Jul. 30, 2022	Jan. 29, 2022	Jul. 31, 2021
Carrying Value
Convertible Senior Notes	$ 368,478	$ 449,287	$ 433,456
Senior notes	1,481,886	1,481,443	0
Fair Value, Recurring | Convertible Senior Notes
Carrying Value
Convertible Senior Notes	368,500	449,300	433,500
Fair Value, Recurring | Convertible Senior Notes | Level 2
Fair Value
Convertible Senior Notes	1,087,600	2,016,300	1,768,800
Fair Value, Recurring | Senior notes due 2032
Carrying Value
Senior notes	742,100	741,700	0
Fair Value, Recurring | Senior notes due 2032 | Level 2
Fair Value
Senior notes	615,500	733,100	0
Fair Value, Recurring | Senior notes due 2052
Carrying Value
Senior notes	739,800	739,700	0
Fair Value, Recurring | Senior notes due 2052 | Level 2
Fair Value
Senior notes	$ 518,600	$ 711,300	$ 0

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Leases (Details) $ in Thousands	6 Months Ended
	Jul. 30, 2022 USD ($) DistributionCenter	Jul. 31, 2021 USD ($)
Leases
Number of distribution centers leased | DistributionCenter	3
Additional renewal period	5 years
Cash paid for amounts included in the measurement of operating lease liabilities	$ 332,400	$ 342,100
Non-cash operating lease assets and liabilities obtained in exchange for new or modified leases	$ 254,700	$ 169,000
Minimum
Leases
Initial tenure of operating leases	10 years
Maximum
Leases
Initial tenure of operating leases	15 years

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Convertible Senior Notes - Narrative (Details) - USD ($) $ / shares in Units, shares in Millions		3 Months Ended		6 Months Ended
	Apr. 17, 2020	Jul. 30, 2022	Jul. 31, 2021	Jul. 30, 2022	Jul. 31, 2021	Apr. 30, 2022	Jan. 29, 2022
Convertible Senior Notes
Amortization of deferred financing fees and debt discount				$ 2,601,000	$ 14,963,000
Closing price of the Company's common stock at the end of the second fiscal quarter in 2022 (in dollars per share)		$ 93.59		$ 93.59
Interest expense associated with Convertible Senior Notes, net of tax		$ 7,992,000	$ 0	$ 16,201,000	0
Convertible Senior Notes
Convertible Senior Notes
Principal	$ 575,000,000
Interest rate, stated percentage	3.25%
Over allotment option	$ 75,000,000
Proceeds from debt, net of issuance costs	557,600,000
Debt issuance costs	$ 17,400,000
Conversion ratio				3082.80%
Conversion price (in dollars per share)		$ 32.44		$ 32.44
First Quarter 2022, Exchanges Agreement
Convertible Senior Notes
Principal						$ 100,000,000
Conversion options for Convertible Senior Notes
Convertible Senior Notes
Principal		$ 375,000,000	575,000,000.0	$ 375,000,000	575,000,000.0		$ 575,000,000.0
Conversion price (in dollars per share)		$ 32.44		$ 32.44
Interest expenses related to Convertible Senior Notes		$ 10,800,000	12,300,000	$ 21,900,000	24,300,000
Amortization of deferred financing fees and debt discount		700,000	$ 7,700,000	$ 1,500,000	$ 15,000,000
Amount in which the if-converted value exceeds the principal amount		$ 707,000,000
Convertible Bond Hedge and Warrant Transactions
Convertible Senior Notes
Number of securities called by warrants or rights (in shares)		11.6		11.6
Notes Exchanges
Convertible Senior Notes
Principal		$ 200,000,000		$ 200,000,000
Inducement charge		6,600,000		12,300,000
Carrying value of Convertible Senior Notes exchanged		196,300,000		$ 196,300,000
Net Shares Issued for the Note Exchanges				3.5
Second Quarter 2022, Exchanges Agreements
Convertible Senior Notes
Principal		$ 100,000,000		$ 100,000,000
Number of Convertible Senior Notes Exchange Transactions		2

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Convertible Senior Notes - Summary of the Composition of net carrying values of the liability and equity components of the Convertible Senior Notes (Details) - USD ($)	Jul. 30, 2022	Jan. 29, 2022	Jul. 31, 2021
Convertible Senior Notes
Carrying amount	$ 368,478,000	$ 449,287,000	$ 433,456,000
Convertible Senior Notes Due 2025
Convertible Senior Notes
Principal	375,000,000	575,000,000.0	575,000,000.0
Debt discount	(6,500,000)	(125,700,000)	(141,500,000)
Carrying amount	$ 368,500,000	449,300,000	433,500,000
Convertible Senior Notes Due 2025 | Additional Paid-In Capital
Convertible Senior Notes
Equity component		$ 160,700,000	$ 160,700,000

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Subsequent Event (Details) - Subsequent Event	Aug. 22, 2022 $ / shares
Common Stock
Subsequent Event
Dividend amount (in dollars per share)	$ 0.4875
Class B Common Stock
Subsequent Event
Dividend amount (in dollars per share)	$ 0.4875