As Foot Locker begins to execute on a turnaround plan, the retailer’s sales tumbled 9.9% in the second quarter to $1.9 billion, while comps declined 9.4%.
Foot Locker also swung to a $5 million loss in Q2, down from $94 million in net income last year, according to a company press release. Gross margin fell by 460 basis points in the quarter, due in part to increased markdowns and higher shrink.
On the back of these earnings results, Foot Locker lowered its annual guidance for the second time this year. The retailer expects sales to be down between 8% and 9% this year, worse than its previous guidance of sales falling between 6.5% and 8%.Retail Dive