Foot Locker’s strategies paying off as company surpasses 3Q expectations
Foot Locker’s (NYSE:FL) shares climbed after the company released its latest quarterly results, which declined compared to last year, but handily beat analysts’ expectations.
Foot Locker earned $102 million or 81 cents per share, down from the $157 million or $1.17 per share a year earlier. On an adjusted basis, the company earned 87 cents per share, topping the Thomson Reuters compiled analyst forecast for 80 cents per share.
Revenue tipped lower to $1.87 billion from $1.89 billion in the year-earlier quarter but surpassed the analyst forecast for $1.83 billion.
"Despite the highly promotional environment we still see in the marketplace, the availability of premium product is gradually improving compared to the first half of the year, and we believe we can achieve, and perhaps modestly exceed, the top- and bottom-line guidance we gave for the fourth quarter back in August,” said CEO and Chairman Richard Johnson.
”We are adjusting our course proactively”, to ensure footlocker will continue to thrive, he added.
During the company’s earnings call, they acknowledged the disruption in retail and noted that they are making “many critical decisions.” Foot Locker’s executives said they are planning their business actions to maximize shareholder returns over the longer term.