Foot Locker returns to profit in Q4 despite overall sales decline
Foot Locker store in Utrecht Credits: Foot Locker Footwear retailer Foot Locker reported a 5.8 percent decrease in sales, totaling 2.2 billion dollars for the fourth quarter of 2024. However, comparable sales demonstrated a positive trend, increasing by 2.6 percent. The company also returned to profit with net earnings from continuing operations reaching 55 million dollars, while non-GAAP net income rose to 82 million dollars. President and CEO Mary Dillon stated, "We delivered fourth quarter results above our previously revised expectations, as our investments and execution drove positive comparable sales and meaningful gross margin improvement compared to the prior year." Fourth quarter earnings per share from continuing operations decreased to 0.57 dollars, while non-GAAP earnings increased to 0.86 dollars per share compared to the fourth quarter of 2023. During the quarter, Foot Locker opened seven new stores and closed 47, resulting in a total of 2,410 stores across 26 countries in North America, Europe, Asia, Australia, and New Zealand as of February 1, 2025. Additionally, 224 licensed stores were operational in the Middle East, Europe, and Asia. The company's 2025 forecast projects sales changes between negative 1 percent and positive 0.5 percent, comparable sales changes between 1 percent and 2.5 percent, and non-GAAP earnings per share between 1.35 dollars and 1.65 dollars. Dillon further noted, "While we expect consumer and category promotional pressures to remain uncertain into 2025, especially within the first half, our Lace Up Plan strategies continue to resonate with our customers and brand partners."
Footwear retailer Foot Locker reported a 5.8 percent decrease in sales, totaling 2.2 billion dollars for the fourth quarter of 2024. However, comparable sales demonstrated a positive trend, increasing by 2.6 percent.
The company also returned to profit with net earnings from continuing operations reaching 55 million dollars, while non-GAAP net income rose to 82 million dollars.
President and CEO Mary Dillon stated, "We delivered fourth quarter results above our previously revised expectations, as our investments and execution drove positive comparable sales and meaningful gross margin improvement compared to the prior year."
Fourth quarter earnings per share from continuing operations decreased to 0.57 dollars, while non-GAAP earnings increased to 0.86 dollars per share compared to the fourth quarter of 2023.
During the quarter, Foot Locker opened seven new stores and closed 47, resulting in a total of 2,410 stores across 26 countries in North America, Europe, Asia, Australia, and New Zealand as of February 1, 2025. Additionally, 224 licensed stores were operational in the Middle East, Europe, and Asia.
The company's 2025 forecast projects sales changes between negative 1 percent and positive 0.5 percent, comparable sales changes between 1 percent and 2.5 percent, and non-GAAP earnings per share between 1.35 dollars and 1.65 dollars.
Dillon further noted, "While we expect consumer and category promotional pressures to remain uncertain into 2025, especially within the first half, our Lace Up Plan strategies continue to resonate with our customers and brand partners."
