Foot Locker Inc. shares fell as much as 12 percent in premarket trading after the athletic-goods retailer missed analysts’ expectations for same-store sales and overall revenue.
Comparable-store sales declined 2.7 percent in the fourth quarter ended Jan. 30, Foot Locker said Friday, compared with analysts’ estimate of a 3.5 percent increase as compiled by Consensus Metrix. Revenue of $2.19 billion missed the expectation of $2.29 billion compiled by Bloomberg.
Foot Locker cited “the challenging macro backdrop of Covid-related store closures and supply-chain congestion” in its statement. It said more than 10 percent of its locations are closed due to the pandemic.
The disappointing results come as Foot Locker is facing off against possible takeover interest from its largest shareholder, Czech billionaire Daniel Kretinsky’s Vesa Equity Investment S.a.r.l. The retailer adopted a poison-pill defence in December.
The company said it couldn’t provide 2021 guidance because of pandemic uncertainty.
Foot Locker shares fell as low as $46.35 as of 7:26 a.m. in New York. The stock is up 30 percent this year through Thursday and rose 3.7 percent last year.
By John J. Edwards III