Foot Locker sales stifled by WSS comps, North America proves bright

Foot Locker announced on Wednesday sales for the second quarter fell 2.4% to $1.85 billion, despite steady comparable sales growth in the specialty footwear retailer’s North America market.

The New York-based company said comparable sales for the three months decreased by 2%, with comps in North America up 1.4% for the period ending August 2.

Excluding WSS, comparable sales in North America increased by 2.6%, partially offset by sales declines in Europe and the Asia Pacific, which decreased by 10.3%.

“In the second quarter, we built sequential momentum and delivered positive North American comparable sales results led by our Foot Locker, Kids Foot Locker, and Champs Sports banners, including a positive start to the back-to-school season in July,” ​said Mary Dillon, chief executive officer, Foot Locker Inc.

“At the same time, our results reflect a challenging operating environment and soft store traffic trends, particularly in our WSS and international businesses. Our team continued to execute our Lace Up Plan, remaining focused on elevating our customers’ experiences by leveraging our strong brand partnerships, enhancing our store base through our Refresh and Reimagined programs, improving our digital platforms, and deepening global engagement through our FLX Rewards Program.”

The earnings update comes after Dick’s Sporting Goods reported in May it will acquire Foot Locker for $2.4 billion, marking its international debut and expanding its reach with top sneaker brands and 2,400 stores across 20 countries.

“We are pleased to have recently received shareholder approval for the Company’s acquisition by Dick’s Sporting Goods,” added Dillon, in Wednesday’s earnings update.

“All required regulatory approvals have been received, and we look forward to the successful completion of the transaction.”