Foot Locker Revenue Beats, Holiday Forecast Doesn’t

Foot Locker Inc. (FL) made a voluntary pre-market announcement for its Q3 earnings after the close on Wednesday, beating analyst estimates on revenue but issuing a muted holiday forecast. Foot Locker shares were down…

Foot Locker Revenue Beats, Holiday Forecast Doesn't

Foot Locker Inc. (FL) made a voluntary pre-market announcement for its Q3 earnings after the close on Wednesday, beating analyst estimates on revenue but issuing a muted holiday forecast.

Foot Locker shares were down 6.5% premarket.

In the results, reported after the market close, FL reported revenue of $1.03 billion, versus analyst estimates of $1.01 billion. Earnings were a dime, beating expectations of a penny a share.

However, the company saw a $3 million charge in the third quarter related to the employee’s resignation following the departure of longtime CEO Richard Johnson.

It also saw revenue growth of 2.4% over the same period last year.

“This quarter was an important milestone for our company as we made progress on several of our key strategic initiatives,” said chairman and interim CEO Richard Johnson, in a press release. “As we have said in the past, our core value is performance; our top priorities are turning our digital infrastructure into a platform that can scale and supporting growth in our DTC, LFL and international businesses. Our intention is to keep repositioning and reinventing our business so we can provide the best and most consumer-focused shopping experience to our existing customers and to emerging and growing markets.”

For Q4, the company expects a low-single digit comparable store sales decline and a total revenue growth of high-single digit.

For the full year, it now expects comparable store sales to be flat to up slightly and a total revenue growth of mid-single digit. The company expects an EPS of $1.92 to $1.98.

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