Sixfold Profit Increase For Foot Locker

Sixfold Profit Increase For Foot Locker
Foot Locker

Foot Locker Inc. handily topped estimates in the second quarter.
For the period ended Jul. 30, 2011, the New York-based specialty athletic retailer earned $37 million, or 24 cents a share, six times more than the $6 million, or 4 cents a share, it earned in the same period a year ago.
Analysts were looking for earnings of 11 cents a share, as polled by Yahoo Finance.
Revenue for the quarter increased 16 percent to $1.3 billion, thanks to an 11.8 percent gain in comparable-store sales.
“Our associates worldwide are doing an excellent job executing the initiatives of our strategic plan,” said Ken Hicks, chairman and CEO of Foot Locker, in a statement. “I am also pleased to be reporting our sixth consecutive quarter of sales and profit growth, versus the comparable prior-year periods.”
Foot Locker’s merchandise inventory at the end of the second quarter was $1.3 billion, or 4 percent higher than the year before.
The company ended the period with cash and cash equivalents totaling $681 million, compared with $519 million last year, and $136 million in debt.