Foot Locker's quarterly comparable sales decrease

Foot Locker first quarter sales decreased by 2.8 percent to 1,874 million dollars and excluding the effect of foreign exchange rate fluctuations, sales decreased by 2.4 percent.

The company said that comparable sales for the quarter decreased by 1.8 percent, including a 220 basis-point impact from the continued repositioning of the Champs Sports banner. Global Foot Locker and Kids Foot Locker comparable sales increased 1.1 percent.

Commenting on the financial results, Mary Dillon, the company’s president and CEO, said: "We delivered comparable sales results and gross margin in line with our expectations, while earnings per share outperformed due to disciplined expense management and some favourable shifts in expense timing."

First quarter net income was 8 million dollars and non-GAAP net income was 21 million dollars. Earnings per share were 9 cents, while non-GAAP earnings per share decreased to 22 cents in the first quarter.

For the full year ahead, the company forecasts sales growth range of positive 1 percent to negative 1 percent, comparable sales increase in the range of 1 to 3 percent, and non-GAAP EPS to range between 1.50 dollars and 1.70 dollars.

During the first quarter, the company opened four new stores and closed 37 stores. The company also remodelled or relocated 16 stores and updated 13 stores to Foot Locker’s current design standards. As of May 4, 2024, the company operated 2,490 stores in 26 countries in North America, Europe, Asia, Australia, and New Zealand. In addition, 206 franchised stores were operating in the Middle East and Asia.