Dick’s Sporting Goods reported $2.7 billion in first-quarter revenue, beating analysts’ estimates of $2.59 billion but falling from the $2.92 billion reported a year earlier.

With 729 regular stores and 129 specialty concept stores, the retailer posted $260.6 million in net income, down from $361.8 million the same period the year prior.

The company said loyalty members accounted for more than 70% of sales.

• Same-store sales for locations open at least one year fell 8.4%, including digital sales.
• Overall sales dropped 7.5% year-over-year. 

Dick’s cut its financial forecast, too. The company expects same-store sales to be down 2% to 8%, compared to its previous expectations to be flat to down 4%. Analysts expected same-store sales to drop 2.5% year-over-year.

The weak outlook has already affected Dick’s stock price — at one point on Wednesday, it reached a 52-week low of $63.45. 

Building Brands

Dick’s Sporting Goods continues to expand its offerings.

During the quarter, Dick’s and its outdoor concept store Public Lands announced a new in-store buy-back program with Out&Back Outdoor for outdoor gear in select markets. Earlier this month, Dick’s Calia brand — the company’s second-largest women’s apparel brand behind Nike — launched its first-ever golf collection.

FC Barcelona is reportedly nearing a deal with Goldman Sachs and All Sport Finance to help lower its debt.

The agreement would see the organizations spend $960 million in exchange for a 30% stake of Barcelona’s broadcast revenues and a portion of future revenues from the team’s new stadium complex.

• Barcelona’s $1.6 billion Camp Nou expansion project, called Espai Barça, will add multiple training facilities, entertainment options, and more than 5,500 seats.
• If the team can secure financing, the project will start as early as this summer — it has approval from the club’s members.

The team received a $96.5 million loan from Goldman Sachs three years ago for the renovation project, which was then extended to $180 million. The loan has to be paid by 2023, with a fixed interest of 3% to 4%.

If the new deal goes through, it would mark the largest investment in the history of the club. Barcelona would reportedly have to pay back a total of $1.5 billion in 35 years.

Barcelona’s Boost

Barcelona chose not to take part in Project Boost La Liga, a $2.4 billion deal La Liga has with CVC Capital Partners for 8.2% of the league’s broadcasting revenues over the next 50 years. Real Madrid and Athletic Bilbao were the only two other teams not to participate.

The team could still join the La Liga deal and be eligible for $270 million.

The $320 million sale of Angel Stadium to a company controlled by club owner Arte Moreno has been voided by the Anaheim City Council. 

The council voted unanimously late Tuesday to terminate the sale after hours of public comments opposing the deal and deliberation among members concerning the city’s potential legal liability and concerns of a conflict of interest between buyer and seller.

• The voided sale was labeled as “a pandemic of corruption” by councilman Jose Moreno.
• The Orange County Superior Court must declare the sale invalid for it to be official.

The council’s willingness to void the sale follows Harry Sidhu’s resignation as mayor on Tuesday amid a federal corruption investigation concerning the transaction. Sidhu, who was elected as mayor in 2018, is being accused of bribery, obstruction of justice, and witness tampering. 

In a filed affidavit, an FBI special agent alleges that Sidhu gave the Los Angeles Angels confidential information during the city’s negotiations with the team. It also alleges that he sought a campaign donation worth $1 million and obstructed a grand jury investigation into the deal.

Long Process 

Even though the Anaheim City Council voted to “immediately void” the sale of Angel Stadium, a complete scrapping of the deal could be “litigated for the next several years,” councilman Stephen Faessel told the Los Angeles Times.

If the sale is officially terminated, Anaheim could refund the $50 million Moreno has already allocated toward the deal, as well as up to $5 million in transaction costs and potential legal fees.