Foot Locker Inc (FL) Q1 2024 Earnings Report

Next: Q2 2024

Foot Locker Inc

$24.01 -0.37%

Exchange: NYSE | Sector: Consumer Cyclical | Industry: Apparel Retail

Q1 2024

Published: Apr 30, 2024

Earnings Highlights

Revenue of $1.88B down 5.5% year-over-year
EPS of $0.08 decreased by 70% from previous year
Gross margin of 26.2%
Net income of 8.00M
""Comps declined 1.8%, which was in line with our expectations of down flat to low single digits... our overall first half results are trending in line with our expectations and we still expect a return to positive comp growth."" - Mary Dillon

Foot Locker Inc

Period Q1 2024

Currency USD

Report Type Quarterly Earnings

Generated Dec 8, 2025

Executive Summary

Foot Locker Inc (NYSE: FL) reported a solid start to Q1 2024, showing resilience amidst ongoing challenges in the consumer discretionary space characterized by high inflation and changing consumer habits. Revenue totaled $1.879 billion, representing a decline of 5.5% year-over-year, yet inline with management's expectations of flat to low single-digit declines. The company managed to maintain a gross profit margin of 26.2%, though it was slightly below the previous year. Key insights from management emphasized the impact of their strategic 'Lace Up' plan, aimed at evolving the brand and driving improved customer experiences across their retail networks. Despite the operational hurdles, non-GAAP EPS came in at $0.22, reflecting disciplined expense management.

Key Performance Indicators

Revenue

Decreasing

1.88B

QoQ: 0.00% | YoY: -5.53%

Gross Profit

Decreasing

493.00M

26.24% margin

QoQ: 0.00% | YoY: -9.71%

Operating Income

Decreasing

32.00M

QoQ: 0.00% | YoY: -31.91%

Net Income

Decreasing

8.00M

QoQ: 0.00% | YoY: -71.43%

EPS

Decreasing

0.08

QoQ: 6.01% | YoY: -70.00%

Revenue Trend

Margin Analysis

Financial Highlights

### Financial Performance Metrics
- Revenue: $1.879 billion, down 5.5% YoY, remained flat compared to the previous quarter.
- Net Income: $8 million, translating to a net income margin of 0.4%, significantly lower than the previous year.
- Gross Profit Margin: 26.2%, a decline of 120 basis points YoY.
- Operating Income: $32 million, with a corresponding operating margin of 1.7%.
- EPS (Diluted): $0.0849, with a YoY EPS decline of 70%.

### Operational Efficiency
- Reduction in inventory by 5.6%, aimed at aligning stock levels with consumer demand.
- Favorable markdown management with improvements noted throughout the quarter.
-SG&A expenses accounted for 24.6% of revenue, reflecting an area of focus for management to enhance operating efficiency.

Income Statement

Metric	Value	YoY Change	QoQ Change
Revenue	1.88B	-5.53%	0.00%
Gross Profit	493.00M	-9.71%	0.00%
Operating Income	32.00M	-31.91%	0.00%
Net Income	8.00M	-71.43%	0.00%
EPS	0.08	-70.00%	6.01%

Key Financial Ratios

Gross Profit Margin

Fair

26.20%

Gross profit margin is moderate, room for improvement in cost management

Operating Profit Margin

Weak

1.70%

Operating margin is below industry norms, profitability concerns

Net Profit Margin

Weak

0.43%

Net profit margin is below industry norms, profitability concerns

Return on Assets

Weak

0.12%

Return on assets suggests inefficient capital allocation

Return on Equity

Weak

0.28%

Return on equity suggests inefficient capital allocation

Current Ratio

Healthy

1.68

Current ratio shows adequate liquidity to meet short-term obligations

Debt to Equity

Moderate

0.33

Debt-to-equity indicates balanced capital structure with manageable debt

P/E Ratio

High Growth

61.37x

Very high P/E indicates aggressive growth expectations, higher risk

Price to Book

Undervalued

0.68x

Trading below book value, potential value opportunity or distressed

Historical Earnings Comparison

Period	Revenue ($M)	EPS ($)	YoY Growth	Report
Q3 2024	1,961.00	-0.35	+4.4%	View
Q2 2024	1,900.00	-0.13	-20.3%	View
Q1 2024	1,879.00	0.08	-5.5%	View

Foot Locker Inc (FL) Q1 2024 Earnings Report

Earnings Highlights

Executive Summary

Key Performance Indicators

Revenue Trend

Margin Analysis

Financial Highlights

Income Statement

Key Financial Ratios

Management Insights Available for Members

Peer Comparison Available for Members

Investment Outlook & SWOT Available for Members

Historical Earnings Comparison

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