Ronald Friedman, Co-Leader, Retail/Consumer Products Industry Group, Quoted in Fortune Article, "Jordan Helps Foot Locker Score a Slam Dunk."
By John Kell
Sales of basketball and running sneakers continued to bolster Foot Locker’s results, with demand from those that use the gear to play those sports and others that just like the look.
Foot Locker ( FL 2.95% ) on Friday reported total second-quarter sales for the fiscal second quarter jumped 13% to $1.64 billion, with same-store sales rising a better-than-expected 7%. Analysts had projected same-store sales to rise 5.4%, according to a survey by Consensus Metrix.
The athletic-gear retailer has reported consistent sales and profit growth the past several years, bolstered more recently by strong basketball sales though running has also performed well. The athletic footwear market hit $22 billion at the retail channel in the U.S. last year, according to data compiled by SportsOneSource, and data so far this year indicates demand has continued to climb.
“It is going to be bad,” said Ron Friedman, a consumer products consultant for accounting and advisory firm Marcum LLP. “The second quarter was pretty good and now we are in third quarter and they are revising their numbers. Back to school did not happen–the sales aren’t there.”