Foot Locker upbeat after second quarter results
Foot Locker has reported that net income in its second quarter was $88 million compared to $51 million in the same period last year.
In the quarter ending 4 August comparable store sales increased by 0.5% while total sales rose by 4.8% to $1.782 billion. Excluding the effect of foreign exchange rate fluctuations, total sales for the second quarter climbed by 3.9%.
Lauren Peters, executive vice president and chief financial officer of Foot Locker, said the company continuted its disciplined approach to inventory management in the period which is helping it to improve the flow of merchandise assortments into the business.
He added: “We are encouraged by the results we delivered, including a return to growth on the top line combined with gross margin expansion.”
During the period Foot Locker opened 13 new stores and closed 21. It also refurbished or relocated 33 shops. At the end of the quarter the company operated 3,276 stores in 24 countries in North America, Europe, Australia, and New Zealand. It also had 107 franchised Foot Locker stores in the Middle East and ten franchised Runners Point stores in Germany.
Richard Johnson, chairman and chief executive of Foot Locker, said: “Our performance reflects the work we are doing on several fronts to position the company to succeed in a rapidly evolving retail environment. We remain optimistic that our improving product flow and depth in premium styles positions us to deliver stronger comparable sales growth in the second half of 2018.”
