Foot Locker posts rise in Q2 profit, store sales grow 4.8 percent

Foot Locker, Inc. reported net income for the company’s second quarter ended August 4, 2018 of 88 million dollars or 0.75 dollar per share compared to 51 million dollars or 0.39 dollar per share in the same period of fiscal 2017. The company said, second quarter comparable store sales increased 0.5 percent, while total second quarter sales increased 4.8 percent to 1,782 million dollars. Excluding the effect of foreign exchange rate fluctuations, total sales increased 3.9 percent. The company’s gross margin rate increased to 30.2 percent from 29.6 percent a year ago.

“Our performance reflects the work we are doing on several fronts to position the company to succeed in a rapidly evolving retail environment,” said Richard Johnson, the company’s Chairman and Chief Executive Officer in a statement, adding, “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.”

Foot Locker’s H1 net income rise to 253 million dollars

Net income for the company’s first six months of the year increased to 253 million dollars or 2.14 dollars per share on a GAAP basis, compared to 231 million dollars or 1.74 dollars per share, for the corresponding period in 2017. On a non GAAP basis, earnings per share for the six-month period totalled 2.21 dollars, a 12 percent increase compared to the same period in 2017. Year-to-date sales were 3,807 million dollars, an increase of 2.8 percent, while comparable store sales decreased 1.2 percent. Total year-to-date sales, excluding the effect of foreign currency fluctuations, increased 0.9 percent.

During the second quarter, the company opened 13 new stores, remodelled or relocated 33 stores, and closed 21 stores. As of August 4, 2018, Foot Locker operated 3,276 stores in 24 countries in North America, Europe, Australia, and New Zealand. In addition, 107 franchised Foot Locker stores were operating in the Middle East, as well as 10 franchised Runners Point stores in Germany.