Foot Locker down on wider Q2 loss, lower annual gross margin target
Updates
** Shares of Foot Locker FL.N fall 15% to $27.86
** Co's Q2 net loss widens to $12 million, compared with $5 million a year ago
** Co reaffirms adjusted EPS and sales forecast for 2024, but lowers gross margin expectations due to higher promotions
** Co reports Q2 adj. loss per share of 5 cents, compared with estimates of 7 cents - LSEG data
** Q2 comparable sales rise 2.6%, while net sales climb 1.9%
** Co says it is closing stores and e-commerce operations in South Korea, Denmark, Norway and Sweden
** "We remain in wait-and-see mode on the name, as the macro environment remains challenging, product trends at number 1 supplier Nike remain a question mark, and 2H guidance assumes a dramatic acceleration in profit generation," says Wedbush analyst Tom Nikic in a note
** As of previous close, stock up 5.3% YTD
Reporting by Juveria Tabassum in Bengaluru
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