Foot Locker Reports Q1 Preliminary Loss; To Be Acquired By DICK'S Sporting Goods

(RTTNews) - Foot Locker, Inc. (FL), a footwear and apparel retailer, Thursday reported preliminary net loss of $363 million or $3.81 per share compared with net income of $8 million or $0.09 per share in the same quarter a year ago.

Excluding one-time items, preliminary loss was $6 million or $0.07 per share compared with income of $21 million or $0.22 per share last year.

On average, 17 analysts expects loss of $0.02 per share for the quarter. Analysts' estimates typically exclude special items.

Comparable sales decreased by 2.6% from the prior-year period

"Despite making ongoing progress with our Lace Up Plan, our preliminary first quarter results are below our expectations as we experienced softer traffic trends globally. We continued to manage our promotional levels and maintain inventory and expense discipline, and we have taken actionable steps to advance these efforts and remain nimble and well positioned in an uncertain macroeconomic backdrop," said Mary Dillon, Chief Executive Officer.

Separately, Foot Locker said it has agreed to be acquired by DICK'S Sporting Goods in a transaction with an enterprise value of about $2.5 billion.

First-quarter results are scheduled to be reported on May 29.

Foot Locker stock, closed at $12.87 on Wednesday, down 3.31%, is more than 80% up in pre-market activity. It has traded in the range of $11.00 - $33.94 in the last 1 year.