Categories AlphaGraphs, Earnings, Retail

Foot Locker’s shares jump 13% after Q4 results top estimates

Foot Locker Inc. (FL) surpassed market estimates on both revenue and earnings for the fourth quarter of 2018, sending the stock soaring over 13% in premarket hours on Friday.

Total sales of $2.27 billion were up 2.8% from the same period last year. Excluding the effect of foreign exchange rate fluctuations, sales grew 4.2%. Comparable-store sales rose 9.7%.

Foot Locker quarterly comparable sales trend Q4 2018

 

 

On a GAAP basis, the company reported a net income of $158 million, or $1.39 per share, compared to a net loss of $49 million, or $0.40 per share, in the year-ago quarter. Last year’s results included higher charges and income tax expenses. Adjusted EPS grew 37% to $1.56.

At February 2, 2019, merchandise inventories were $1.26 billion, down 0.7% from the same period last year. On a constant-currency basis, inventory increased 1.3%.

During the fourth quarter, Foot Locker opened 11 new stores, remodeled or relocated 33 stores and closed 56 stores. As of February 2, 2019, the company operated 3,221 stores in 27 countries.

Last month, Foot Locker announced its capital allocation plans for 2019. These include a 10% increase in dividend, a new $1.2 billion share repurchase program and a $275 million capital expenditure program. The capital spending reflects increased investments in the company’s store fleet and its digital initiatives.

 

Get access to timely and accurate verbatim transcripts that are published within hours of the event.

Also Read:  Earnings: Dentsply Sirona Q4 profit beats despite revenue drop; stock jumps

Most Popular

Chewy (CHWY) stock drops after reporting Q4 earnings; FY20 forecast not given

Online pet food seller Chewy Inc.'s (NYSE: CHWY) bottom line beat the market's estimates, while sales met the targets in the fourth quarter of 2019. The company posted a loss

Ford (F) got hit by COVID-19 and here’s why a recovery will not be easy

Ford Motor Company (NYSE: F) reported a 12.5% decline in total US vehicle sales for the first quarter of 2020. The sales numbers were heavily impacted by the coronavirus outbreak

US unemployment claims double to 6.6 million in a week; stocks fall

After climbing to a record high a week ago, jobless claims in the US more than doubled and reached unprecedented levels in the week ended March 28 as more and

Tags

Top