FL: Foot Locker Stock Kicks Higher on Earnings Beat

by Burke Speaker | May 23, 2014 9:45 am

Foot Locker stock (FL[1]) is up after its fiscal first-quarter profit rose 17% — easily beating Wall Street estimates.

[2]Foot Locker reported earnings of $162 million ($1.10 a share), which were up from $138 million (90 cents a share) from last year.

Sales were up 14% to $1.87 billion.

Thomson Reuters analysts predicted earnings of $1.06 a share and revenue at $1.79 billion.

Foot Locker stock is up 2.2% at this point in early morning trading.

“We are off to a great start in 2014, with our first-quarter results representing the highest quarterly sales and profits in our history as an athletic company–for the third consecutive year,” CEO Ken C. Hicks said in a statement.

There was other good news for Foot Locker stock.

Same-store sales increased  7.6% as well.

The winter and spring seasons were not particularly kind to retailers but Foot Locker has seemingly bucked that trend — which other sports stores saw as well.

 Via Fox Business:

Sales at Foot Locker and smaller rival Finish Line (FINL[3]) have been lifted by strong demand for sneakers and sports apparel, fueled by new offerings from apparel makers like Nike (NKE[4]). Foot Locker also acquired Runners Point Group, a specialty athletic store and online retailer based in Germany, for $254 million last year.

In the period ended May 3, Foot Locker’s same-store sales increased 7.6%, bucking a downward trend in the retail industry. Many retailers have said severe winter weather hampered results for the first three months of the year.

FL is up 18% year to date.

Source URL: https://investorplace.com/2014/05/fl-foot-locker-stock-higher-earnings-beat/

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