Foot Locker profit tops estimates on higher shoe sales
(Reuters) - Sports footwear retailer Foot Locker Inc's (FL.N) results beat Wall Street estimates for eight quarters in a row as more customers flocked to the company's stores, sending its shares up 6 percent before the bell.
The retailer, which sells branded shoes of Nike Inc (NKE.N), Reebok and Adidas AG (ADSGn.DE), has better managed its inventory levels over the past few quarters and has benefited from new and eye-catching designs of athletic gear.
The company -- whose products include basketball, running, and casual footwear, as well as apparel and accessories -- said profit rose to $59 million, or 39 cents per share, from $37 million, or 24 cents per share, a year earlier.
On an adjusted basis, the retailer posted a profit of 38 cents per share beating analysts' estimates by 5 cents, according to Thomson Reuters I/B/E/S.
The company, which runs chains including Champs Sports and Footaction, said revenue rose 7.2 percent to $1.37 billion, above the average Wall Street estimate of $1.35 billion.
Foot Locker said comparable-store sales rose 9.8 percent.
Separately, sports good retailer Hibbett Sports Inc (HIBB.O) also posted second-quarter profit that beat estimates by 2 cents, helped by margin improvement, and raised its full-year profit outlook.
New York-based Foot Locker's shares, which have risen about 45 percent this year, were up about 5 percent at $36.08 in premarket trading. They closed at $34.49 on Thursday on the New York Stock Exchange.
Shares of Hibbett Sports closed at $61.80 on Thursday, on the Nasdaq.
(Reporting by Aditi Shrivastava, Chris Jonathan Peters and Maria Ajit Thomas in Bangalore; Editing by Anil D'Silva)