Foot Locker, the global sportswear and footwear retailer, reported a 5.8 per cent decrease in fourth-quarter sales, totaling US $ 2,243 million for the period ending 1st February 2025, compared to US $ 2,380 million in the same quarter of the previous year. Despite the overall sales decline, the company achieved profitability and forecasted future growth.
The company, which includes Foot Locker, Champs Sports, Atmos and WSS, saw a 2.6 per cent increase in comparable sales during the quarter. Notably, global Foot Locker and Kids Foot Locker experienced a combined 3.6 per cent rise in comparable sales and Champs Sports reported a 1.8 per cent increase, marking its second consecutive quarter of growth. However, WSS comparable sales decreased by 3.3 per cent.
Foot Locker reported a net income from continuing operations of US $ 55 million, a significant turnaround from the US $ 389 million net loss in the fourth quarter of the prior year.
The company’s strategic adjustments included opening 7 new stores and closing 47 stores, while also remodeling or relocating 21 stores and refreshing 160 stores to its updated design standards. Foot Locker currently operates 2,410 stores across 26 countries in North America, Europe, Asia, Australia and New Zealand, along with 224 licensed stores in the Middle East, Europe and Asia.
Mary Dillon, Foot Locker’s president and CEO, highlighted the company’s positive performance, stating that fourth-quarter results exceeded expectations due to effective investments and execution that drove comparable sales and improved gross margins. She emphasised the progress made in enhancing the in-store experience, digital capabilities, customer loyalty programs and brand partnerships.
Looking forward to fiscal year 2025, Foot Locker projects comparable sales to increase between 1 per cent and 2.5 per cent. The company also plans to open or convert an additional 80 reimagined store locations by the end of the year, signaling confidence in its ongoing strategic plan.
