Foot Locker grows more than 20% online in Q1
May 24, 2016 11:21 AM
Athletic apparel retail chain Foot Locker Inc. started strong out of the gates online in 2016, posting more than 20% year-over-year online sales growth in the first quarter.
Foot Locker does not break out online sales in its earnings report, but chief financial officer Lauren Peters told analysts on the retail chain’s Q1 2016 earnings call that online sales across all banners grew by more than 20% year over year. Foot Locker is No. 50 in the Internet Retailer 2016 Top 500 Guide,
CEO Richard Johnson said the weakest part of the retail chain’s online business is its Eastbay brand, which describes itself as “dedicated to 7-24-year-old athletes.” Sales on Eastbay.com posted a year-over-year single-digit decline in sales. To reverse that, Johnson told analysts his team is working on making Eastbay more appealing to younger consumers.
“We are working to enhance our current customer’s digital experience and increase brand awareness at younger ages,” he said on the call, according to a transcript from Seeking Alpha. “The goal is to expand the pipeline of kids who know and love the Eastbay brand as they pursue their passion for sports. Examples of success already include the growth in our girls’ volleyball businesses.”
For the fiscal first quarter ended April 30, Foot Locker reported:
- Total revenue of $1.987 billion, up 3.7% from $1.916 billion last year.
- A comparable-store sales gain of 2.9%.
- Net income of $191 million, up 3.8% from $184 million.