Foot Locker (NYSE:FL) reported first-quarter results that missed analyst forecasts, as softer traffic trends weighed on the retailer’s performance.
The company posted a loss per share of $0.07 for Q1, falling short of the anticipated $0.01 loss per share. Revenue declined 4.6% year-over-year to $1.79 billion, below the projected $1.86 billion.
Comparable store sales dropped 2.6% overall, with North America experiencing a slight 0.5% decrease, while international markets, particularly Foot Locker Europe, faced a more significant 8.5% decline.
“We are continuing to execute our Lace Up Plan strategies as we look forward to the successful completion of our transaction with DICK’S Sporting Goods. As we noted at the time we reported preliminary first quarter results, we experienced softer traffic trends globally that impacted our performance,” said Mary Dillon, CEO of Foot Locker.
“As we have executed these and other initiatives to further advance our strategy, our teams have also remained nimble to navigate the uncertain macroeconomic environment, including managing our promotional levels, inventories, and expenses and remaining disciplined with our cash flows.”
The company also reported that its gross margin for the quarter contracted by 40 basis points compared to the prior year.