Dick's Sporting Goods has already laid off some 500 PGA professionals, shrinking the retail space it dedicates to golf in its stores. The cuts could run even deeper, however, spreading to their golf-boutique chain Golf Galaxy.
In sharing their disappointing second-quarter earnings, Dick's executives suggested they could close as many as two-thirds of their 82 Golf Galaxy stores in the next three years. The company suggested it will shutter or not renew leases for underperforming stores. Same-store sales dipped 9.3 percent at Golf Galaxy this past quarter, with total company golf sales some $34 million short of expectations.
The restructuring of Dick's golf business cost the company $20.4 million in the quarter that ended Aug. 2, including $3.7 million in severance charges.