Foot Locker’s online sales bound ahead
March 10, 2015 02:41 PM
Fiscal 2014 was a good year online and in stores for specialty athletic footwear retail chain Foot Locker Inc. The company did not break out web sales but did report e-commerce sales for the year increased by 17.8%. According to Foot Locker’s 2013 earnings report filed with the U.S. Securities and Exchange Commission, direct-to-consumer sales, which are virtually all online, were $715 million. Based on that figure, 2014 web sales were $842.3 million.
For the year ended Jan. 31, Foot Locker, No. 53 in the Internet Retailer 2014 Top 500 Guide, reported:
- Total sales of $7.151 billion, up by 9.9% from $6.505 billion in fiscal 2013.
- Comparable-store sales increased 8%.
- Net income of $520 million, compared with net income of $429 million in the prior fiscal year.
Overall sales growth in 2014 came from the company’s continued focus on its multichannel marketing strategy, president and CEO Dick Johnson told analysts on its year-end earnings call last week. Foot Locker will “continue to make investments, both in the stores and in the digital space to make it more clear for the customer that wherever they are, whenever they want to shop, they have access to our banners and to our product,” Johnson told analysts, according to a transcript of the call from Seeking Alpha.
Capital expenditures reached just over $200 million in 2014, Lauren Peters, executive vice president and chief financial officer, told analysts, including “certain technology projects, such as a new order management system for our digital business which has been extended into 2015.” Foot Locker did not identify suppliers involved in the content management system.
For the fourth quarter, Foot Locker reported:
- Web sales grew by 21.9%. The company did not break out web sales in dollars.
- Total sales of $1.91 billion, up by 6.7% from $1.79 billion in the same quarter of fiscal 2013.
- Comparable-store sales increased 10.2%.
- Net income of $146 million, compared with net income of $121 million in the same period last year.
The company’s e-commerce sites include FootLocker.com, LadyFootLocker.com, FootAction.com and ChampsSports.com and CCS.com, which carries skate and snowboard apparel and gear.