Foot Locker: No Thrills, No Agonies


Foot Locker Inc. (NYSE: FL) reported fourth-quarter adjusted diluted earnings per share (EPS) of $0.73 ($0.64 excluding the extra week this year) and $1.71 billion in revenues before markets opened this morning. In the same period a year ago, the footwear retailer reported EPS of $0.53 on revenue of $1.5 billion. Fourth-quarter results also compare to the Thomson Reuters consensus estimates for EPS of $0.73 and $1.69 billion in revenue.

For the full year, Foot Locker reported adjusted EPS of $2.47 (excluding the extra week) on revenues of $6.18 billion. The consensus estimates called for EPS of $2.57 on revenues of $6.14 billion. Currency translation cost the company 11.4% of revenues in 2012.

On a GAAP basis, Foot Locker posted quarterly EPS of $0.68, compared with $0.53 a year ago.

The company's CEO said:

With the momentum we built from executing our strategic initiatives, the team at Foot Locker, Inc. was able to drive our sales and profits substantially higher than last year's record results. We believe that we can continue to build on this momentum and deliver a double digit percentage earnings per share gain for full-year 2013, compared to our 2012 non-GAAP results of $2.47 per share.

The company did not provide any guidance other than the CEO's statement. A 10% jump in EPS indicates a minimum $2.71 EPS for the 2013 fiscal year. The consensus estimate calls for $2.84, a 15% bump.

At the end of the second quarter, the company's shares hit a new 52-week high. Today's report will not threaten that high.

Shares are down about 2.4% in premarket trading, at $34.46, in a 52-week range of $27.86 to $37.65. Thomson Reuters had a consensus analyst price target of around $41.20 before today's results were announced.

Filed under: 24/7 Wall St. Wire, Apparel, Earnings, Retail Tagged: FL