Foot Locker Inc (FL)
Profitability ratios
Return on sales
| Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Feb 3, 2024 | Jan 31, 2024 | Oct 31, 2023 | Oct 28, 2023 | Jul 31, 2023 | Jul 29, 2023 | Apr 30, 2023 | Apr 29, 2023 | Jan 31, 2023 | Jan 28, 2023 | Oct 31, 2022 | Oct 29, 2022 | Jul 31, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 31, 2022 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 28.43% | 19.88% | 18.94% | 18.97% | 13.65% | 20.54% | 14.32% | 14.90% | 15.44% | 16.99% | 15.43% | 16.33% | 16.95% | 16.31% | 19.19% | 19.67% | 26.19% | 27.28% | 33.67% | 33.84% |
| Operating profit margin | 1.46% | 0.84% | 1.29% | 1.93% | 2.07% | 1.81% | 1.25% | 1.91% | 2.11% | 3.51% | 4.00% | 4.61% | 5.58% | 6.06% | 7.23% | 7.90% | 7.26% | 6.67% | 7.17% | 6.93% |
| Pretax margin | 0.64% | -6.78% | -12.30% | -11.46% | -10.92% | -5.26% | 1.14% | 1.28% | 1.42% | 1.97% | 2.43% | 3.34% | 4.20% | 5.42% | 6.75% | 7.30% | 7.21% | 7.04% | 7.82% | 8.16% |
| Net profit margin | 0.15% | -5.25% | -9.17% | -8.61% | -8.27% | -4.11% | 0.60% | 0.71% | 0.82% | 1.07% | 1.29% | 1.94% | 2.55% | 3.49% | 4.48% | 4.92% | 4.90% | 4.85% | 5.49% | 5.76% |
The gross profit margin of Foot Locker Inc has shown a declining trend from January 2022 to January 2025, with a notable drop from around 33% to 16%, before recovering slightly to 28.43% in January 2025. This indicates a decrease in the percentage of revenue retained as gross profit over the years.
Similarly, the operating profit margin has also been decreasing steadily over the same period, from around 7% in January 2022 to 1.46% in January 2025. This suggests that the company's earnings from core operations have been diminishing.
The pretax margin followed a similar pattern, showing a decline from 8.16% in January 2022 to 0.64% in January 2025. This indicates a decrease in the percentage of each dollar of revenue that translates into pre-tax profit for the company.
The net profit margin has also experienced a significant decrease, moving from 5.76% in January 2022 to 0.15% in January 2025. This downward trend suggests that the company's bottom line profitability has been eroding.
Overall, the profitability ratios of Foot Locker Inc have shown a consistent decline over the period analyzed, signaling potential challenges in generating profits and effectively managing costs.
Return on investment
| Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Feb 3, 2024 | Jan 31, 2024 | Oct 31, 2023 | Oct 28, 2023 | Jul 31, 2023 | Jul 29, 2023 | Apr 30, 2023 | Apr 29, 2023 | Jan 31, 2023 | Jan 28, 2023 | Oct 31, 2022 | Oct 29, 2022 | Jul 31, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 31, 2022 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 1.73% | 0.99% | 1.58% | 2.39% | 2.64% | 2.17% | 1.29% | 1.97% | 2.12% | 3.76% | 4.43% | 5.29% | 6.36% | 6.70% | 7.90% | 8.63% | 7.98% | 7.56% | 8.24% | 7.72% |
| Return on assets (ROA) | 0.18% | -6.21% | -11.25% | -10.68% | -10.51% | -4.92% | 0.62% | 0.73% | 0.82% | 1.14% | 1.43% | 2.22% | 2.91% | 3.86% | 4.90% | 5.37% | 5.39% | 5.50% | 6.31% | 6.42% |
| Return on total capital | 3.85% | 0.94% | -15.98% | -13.93% | -11.72% | -14.43% | 3.15% | 3.56% | 4.37% | 7.11% | 9.66% | 10.90% | 15.18% | 14.29% | 18.76% | 18.39% | 22.74% | 19.47% | 25.26% | 24.14% |
| Return on equity (ROE) | 0.41% | -14.85% | -26.99% | -25.71% | -24.98% | -11.70% | 1.44% | 1.68% | 1.91% | 2.65% | 3.35% | 5.18% | 6.98% | 9.26% | 11.69% | 12.80% | 13.21% | 13.46% | 15.46% | 16.10% |
The profitability ratios of Foot Locker Inc over the reporting periods exhibit a mixed performance.
1. Operating return on assets (Operating ROA) fluctuated throughout the period, ranging from a peak of 8.63% on October 29, 2022, to a low of 1.29% on October 31, 2023. The ratio declined from the early months of the analysis to the end, indicating a potential decrease in the company's ability to generate operating income from its assets.
2. Return on assets (ROA) also witnessed significant volatility, with negative returns observed in some periods, such as -10.51% on February 3, 2024, and -11.25% on July 31, 2024. This suggests varying levels of profitability relative to the company's total assets, potentially influenced by operational challenges or asset management issues.
3. Return on total capital showed a similar trend to ROA, with profitability levels fluctuating over time and occasionally dropping below zero. Notably, the ratio hit a low of -15.98% on July 31, 2024, indicating challenges in generating returns from all sources of capital invested in the business.
4. Return on equity (ROE) metrics displayed a downward trajectory over the periods analyzed, with negative returns experienced in later periods, like -24.98% on February 3, 2024, and -26.99% on July 31, 2024. This reflects a decline in the company's ability to generate profits from shareholders' equity, potentially signaling financial stress or underperformance.
In conclusion, Foot Locker Inc's profitability ratios indicate fluctuating levels of profitability and efficiency in utilizing assets and capital over the analyzed periods, suggesting potential challenges in maintaining sustainable returns for investors and stakeholders.