Foot Lockers posts FY19 sales of $8 billion

23 Mar '20

2 min read

Pic: Foot Locker

Foot Locker, a US-based specialty athletic retailer, posted 0.8 per cent increase in its net sales to $8.0 billion in fiscal 2019 ended on February 1, 2020, compared to $7.93 billion prior year. However, company’s net income dropped from $541 million in FY18 to $498 million in the reported year. Net income in Q4 FY19 reduced 3.6 per cent to $141 million.

"We were pleased that total sales for the year surpassed $8 billion, a new record as Foot Locker, Inc" Lauren Peters, executive vice president and chief financial officer of Foot Locker, said in a press release. "We delivered another year of comparable sales growth.”

"While we had leading positions in key on-trend footwear styles, this was not enough to offset softer than expected demand during the compressed holiday season, a very promotional marketplace for apparel, and tougher launch comparisons," Richard Johnson, chairman and chief executive officer, said in the release.

Sales in the quarter decreased to $2.22 billion compared to $2.27 billion in Q4 FY18. Selling, general and administrative (SG&A) expenses in Q4 were $430 million (Q4 FY18: $451 million). For full 2019, SG&A were $1.65 billion (FY18: $1.61 billion).

During the fourth quarter, the company opened 32 new stores, remodelled or relocated 66 stores, and closed 63 stores. As of February 1, 2020, the company operated 3,129 stores in 27 countries in North America, Europe, Asia, Australia, and New Zealand. In addition, 130 franchised Foot Locker stores were operating in the Middle East, as well as 9 franchised Runners Point stores in Germany.

"We built a strong foundation in 2019 and we believe we have the right plan in place to deliver against our long-term financial objectives," Johnson said. "We are optimistic about our company's future, and by making progress against our strategic imperatives, we believe we will strengthen our position at the center of sneaker and youth culture, and create value for our shareholders."

Fibre2Fashion News Desk (JL)

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