Nov 20, 2015
Foot Locker's profit, sales beat estimates
Nov 20, 2015
Footwear retailer Foot Locker Inc reported better-than-expected quarterly profit and sales, helped by strong demand for basketball and running shoes.
The footwear retailer's shares were up about 5.2 percent at $64.75 in premarket trading on Friday.
Foot Locker said same-store rose 8.7 percent in the third quarter ended Oct. 31, more than the 6.1 percent rise analysts on average had expected, according to Consensus Metrix.
Demand for new styles of popular products such as Adidas AG's Yeezy, Nike's Air Jordan, Jordan Eclipse, and Kyrie 1, and Under Armour's Curry 2 were heavily anticipated, and likely drove traffic in the third quarter, Barclays analysts said in a pre-earnings note.
Foot Locker is one of the biggest footwear retailers in the U.S and its performance is an indicator of demand for Nike Inc and Under Armour Inc products.
Foot Locker's net income fell to $80 million, or 57 cents per share, in the quarter from $120 million, or 82 cents per share, a year earlier.
Excluding items, Foot Locker earned $1 per share.
Revenue rose 3.6 to $1.79 billion.
Analysts on average were expecting 95 cents per share on revenue of $1.78 billion, according to Thomson Reuters I/B/E/S.
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