Foot Locker Inc

Latest Results (07.08.2024):

Total Sales Decrease

Foot Locker Inc. reported a total sales decrease of 2.8% for the first quarter of 2024, bringing in $1,874 million compared to $1,927 million in the same period last year. Excluding the impact of foreign exchange rate fluctuations, the total sales decrease was 2.4%. Comparable sales also saw a decline of 1.8%, which includes a 220 basis-point impact from the continued repositioning of the Champs Sports banner.

Net Income and EPS

For the first quarter of 2024, Foot Locker Inc. reported a net income of $8 million, down from $36 million in the corresponding period of the previous year. The earnings per share (EPS) for the quarter were $0.09, compared to $0.38 in the first quarter of 2023. On a Non-GAAP basis, net income was $21 million, with Non-GAAP EPS at $0.22, down from $0.70 in the prior year.

Inventory and Cash Position

As of the end of the first quarter of 2024, Foot Locker Inc.'s merchandise inventories were valued at $1.7 billion, representing a 5.6% decrease year-over-year. The company's cash and cash equivalents totaled $282 million, while total debt stood at $446 million. Excluding the effect of foreign currency fluctuations, merchandise inventories decreased by 4.9% compared to the first quarter of the previous year.

Store Base Update

During the first quarter of 2024, Foot Locker Inc. opened 4 new stores and closed 37 stores. Additionally, the company remodeled or relocated 16 stores and updated 13 stores to its current design standards. As of May 4, 2024, Foot Locker Inc. operated 2,490 stores across 26 countries, with 206 franchised stores in the Middle East and Asia.

Reaffirming 2024 Outlook

Foot Locker Inc. reaffirmed its full-year 2024 outlook, projecting Non-GAAP EPS guidance of $1.50 to $1.70. The company anticipates a sales change of -1.0% to +1.0% and comparable sales growth of 1.0% to 3.0%. The outlook includes an approximate $0.10 non-recurring charge in the second quarter of 2024 due to the rollout of the enhanced FLX loyalty program in North America.