1. ASO's Q3 sales grew 3% despite a slight dip in comparable sales. 2. eCommerce sales surged by 22.2%, indicating a strong online presence. 3. Eleven new stores opened, enhancing market footprint and growth potential. 4. Guidance for sales and gross margins was narrowed and improved. 5. Diluted EPS rose 14% from last year, showing profitability growth.
FAQ
Why Bullish?
The increase in both EPS and eCommerce sales reflects strong performance, though comparable sales slightly decreased. Historical context shows that strong earnings can lead to stock price increases, as seen in previous quarters.
How important is it?
The article highlights key financial metrics and strategies that can affect ASO's stock price significantly. The strong earnings report and positive sales guidance enhance investor confidence.
Why Short Term?
Immediate impact expected due to strong quarterly earnings and holiday sales momentum. The positive guidance adjustment suggests potential for favorable market reactions in the near term.
Academy Sports + Outdoors Reports Third Quarter Fiscal 2025 Results; Updates Guidance
KATY, Texas, Dec. 09, 2025 (GLOBE NEWSWIRE) -- Academy Sports and Outdoors, Inc. (Nasdaq: ASO) has announced financial results for its third quarter ended November 1, 2025. The company reported a **3.0% increase** in net sales, while comparable sales experienced a slight decrease of **0.9%**. As eCommerce sales soared by **22.2%**, the overall financial performance indicates resilience amid economic challenges.
Key Financial Highlights for Third Quarter 2025
- Net Sales: $1,383.7 million, up from $1,343.3 million.
- Income Before Income Tax: $94.0 million, a **6.0%** increase from last year.
- Net Income: $71.6 million, marking an **8.8%** rise year-over-year.
- Diluted GAAP EPS: $1.05, reflecting a **14.1%** increase compared to $0.92 last year.
- Adjusted Earnings Per Share: $1.14, up **16.3%** from $0.98.
New Store Openings and Growth Strategy
During the third quarter, Academy opened eleven new stores across ten states, expanding its footprint to a total of **317 locations**. The company plans to continue this growth trajectory with an additional **20-25 new stores** expected to open in fiscal 2026.
Steve Lawrence, CEO of Academy, stated, “We continue to see an acceleration in our underlying growth strategies, despite the uncertain economic backdrop the consumer is facing.” He highlighted the positive reception of their holiday offerings, which culminated in a record Black Friday event.
Year-to-Date Financial Performance
For the year-to-date period ended November 1, 2025, Academy reported:
- Net Sales: $4,334.9 million, a **1.8%** increase from the previous year.
- Comparable Sales: Down **1.4%** year-over-year.
- Income Before Income Tax: $321.9 million, reflecting a decline of **13.7%**.
- Net Income: $243.1 million, which is a **14.6%** decrease.
- Diluted EPS: $3.57, down **7.5%** from $3.86.
Revised Fiscal 2025 Guidance
In light of its third quarter performance, Academy has revised its guidance for fiscal 2025:
- Net Sales Guidance: Adjusted to $6,025 - $6,200 million.
- Comparable Sales Guidance: Narrowed to a decrease of **2.0%** to flat.
- Gross Margin Rate: Revised to 34.3% to 34.5%.
- GAAP Earnings Per Share Guidance: Adjusted to $5.35 - $5.85.
Carl Ford, CFO of the company, remarked, "The third quarter performed in-line with our expectations, and led to outperformance across our profit metrics including growth in gross margin, operating profit and net income."
Investor Information
Academy will conduct a conference call today at 10:00 a.m. Eastern Time to discuss its financial results. Investors can participate by calling:
- U.S. Callers: 1-877-407-3982
- International Callers: 1-201-493-6780
- Passcode: 13757103
A replay of the conference call will be available for approximately 30 days on the company's website.
About Academy Sports + Outdoors (ASO)
Academy Sports + Outdoors is a leading sporting goods retailer in the U.S., established in 1938. With over **317 locations** across **21 states**, Academy focuses on a localized merchandising strategy and offers a diverse product assortment across outdoor, sports, recreation, and apparel categories. For more information, please visit www.academy.com.