Despite bad weather across the U.S., Foot Locker (FL) beat the Street on Friday with a 16% jump in fiscal fourth-quarter profits as the athletic apparel retailer enjoyed healthy sales growth.
Shares of the New York-based company rallied over 5% in the wake of the stronger-than-expected results.
Foot Locker said it earned $121 million, or 81 cents a share, last quarter, compared with $104 million, or 68 cents a share, a year earlier.
Excluding one-time items, it earned 82 cents a share, up from 64 cents the year before and above the Street’s view of 76 cents.
Revenue increased 4.6% to $1.79 billion, narrowly exceeding consensus calls from analysts for $1.76 billion. Same-store sales jumped 5.3%.
“I am very proud of the progress that the entire team at Foot Locker, Inc. is making towards reaching our long term goals and objectives,” Foot Locker CEO Ken Hicks said in a statement. “While we accomplished a great deal in 2013, we have many more opportunities to improve the business further.”
Foot Locker said it has authorized a capital expenditure program of $220 million for 2014.
The company’s merchandise inventory level as of February 1 stood at $1.22 billion, which was 4.5% higher than the same period a year ago.
Wall Street cheered Foot Locker’s earnings beat, driving the company’s shares 5.31% higher to $45.00. Those gains should allow Foot Locker to extend its 12-month rally of about 21%.