Boston, MA 03/12/2014 (wallstreetpr) – Foot Locker Inc (NYSE:FL) reported fourth quarter 2013 and full year 2013 results, which beat analysts’ estimates. The company had undertaken significant initiatives towards reaching its long term goals and reported quarterly adjusted earnings of 82 cents while analysts at Zacks were expecting 75 cents.
In accordance with the results, Foot Locker Inc (NYSE:FL)’s earnings increased 19% and reached 81 cents per share. Its comparable store sales increased by 5.3% which resulted in the company’s sales for the quarter to escalate 4.6% year over year up to $1,791 million. Gross profit increased to 3.2% to climb at $582 million but gross margin declined 50 basis points to 32.5%. Foot Locker ended 2013 with cash and cash equivalents as also short term investments of $867 million.
Full year adjusted earnings for Foot Locker was $2.87 per share which marked an increase of 16% year over year. As per reports, earnings rose 10.5% to $2.85 a share. Total sales for the reported year increased 5.2% to $6,505 million. This is the company’s record high till now.
Stores Restructuring
Foot Locker Inc (NYSE:FL) has opened as many as 84 new outlets while shutting down 140 previous ones. It has also relocated 320 outlets. Presently, it operates 3,473 outlets across 23 countries in Europe, North America, New Zealand and Australia. It also has 46 franchisees in the Middle East and South Korea.
Plans For 2014
Foot Locker Inc (NYSE:FL) seeks to work on its stores restructuring plans while increasing investments in Europe. It also expects to expand its women’s business with the aim of achieving its operational goals. The company is impressed with its performance in 2013 and believes that by continuously furthering opportunities including children’s business, enhancement of assortments and development of its store banner.com, it could achieve further heights looking forward. For 2014, Foot Locker Inc (NYSE:FL) expects single digit growth in comparative store sales and double digit rise in earnings per share.
