Foot Locker F3Q09 Qtr stop 10
This conference may contain forward looking statements that reflect management's current views on future events and financial sexual effort. These forward looking statements depend on many assumptions and factors, Such as effects of currency fluctuations, Customer needs, Economic and market growing complaints worldwide, And other risks and uncertainties described in the company's article writing and SEC filings.
We refer you to Foot Locker Incorporated's most recently filed Form 10 K or Form 10 Q for a complete description of problem of the. Any changes in such assumptions or factors could produce significantly spun sentences and actual results may differ materially from those contained in the forward looking statements.
Ought to be that this conference is being recorded.
I will turn the call over to Mr. Philip Brown, Senior vice chairman, Chief content Officer and Investor Relations. Mister. Wood,
Cheap Oakley Sunglasses For Kids, You can start.
Good several hours. As reported a day ago that on a non GAAP basis, We generated $0.10 per share to the third quarter of 2009 versus $0.18 per share yr after. Included in both years effects were impairment charges of $0.14 per part this year and $0.02 per share yr after. In this case, On a GAAP time, Like impairment charges,
Oakley Sunglass, We had a decrease of $0.04 per share this year versus net gain of $0.16 per share yr after.
A getting back together of our GAAP results to our non GAAP adjusted amounts is included in our press release to assist in your analysis of our results. Please note that as we go through our remarks today, We will be discussing our financial results on a non GAAP adjusted basis.
Frank McHugh, Our Executive vp and Chief Financial Officer, Will begin our prepared remarks with examination our financial results, Including legal representative of the impairment charges. Ken Hicks, Our chief executive, Ceo, And adverse reports about them elected Chairman of the Board, Follows with an operational review and provide some color on current business initiatives.
We expect that our call this morning will last something like 45 minutes, Including a question and answer session at the bottom of our prepared remarks.
While Bob and Ken will give you the details, I will begin with a handful of the headlines. Sales always been challenging during the third quarter, Although we did see some enchancment on a quarter by quarter sequential basis. Thus the tone of the particular business in the third quarter was stronger than our second quarter results. In one payemnt, Our comp store sales lessened 8.2%.
According to our game plan to control expenses and focus on our gross margin,
Oakley Oakley, Our markdown extent, Occupancy bargains, SG services, And decline were all favourable to last year. Our gross margin rate was flat with yr after, With our supplement margin rate increasing 90 basis points, Offset by a 90 basis point decline in our buying and occupancy rate due to deleveraging after our lower sales.
Our SG expenses and fall declined $13 million and $3 million respectively. And very notable, Particularly in today's economy, Our balance sheet remains strong with our total cash position net of debt improving by $28 million and our selection in constant currency down 5.7% from the same time frame last year.
I can turn the call over to Bob McHugh.
Good mid-day. Our third quarter adjusted earnings per share are within the range of our beliefs going into the quarter, Although a few cents below the Wall Street complete estimate. Businesses stay disappointing and the primary reason why our earnings per share fell short of the third quarter last year.
We had a number of positive trends during the third quarter that are noteworthy. Our comp store sales trend in Europe more suitable versus the spring season, Most telling in October as we generated a high single digit sales gain for the month. Organisations and people at a lower markdown rate. Our expense management process is constantly on the pay off, As we benefited during the quarter from discounts in both our occupancy costs and SG expenses. And our devaluation expense was below last year, Showing our lower fixed asset base.
We expect that what that we are taking this year in terms of improved inventory management,
Cheap Oakley Sunglasses Outlet, Expense special discounts, And positive cash flow group will lead to increased Foot Locker earnings, Specially when consumer spending returns to more normalized levels. As an example, The reductions that we are achieving in our fixed expenses has most likely furnished significant leverage for our business as comp store sales improve. Partitions and at Foot Locker Europe. In month, Comp store sales turned down low double digits in August, Mid single digits in sept, And low double digits in july.
Our third quarter gross margin rate was pretty much flat with last year, Reflecting a 90 basis point increase in our item margin rate and a 90 basis point decline in our buying and occupancy rate, Exhibiting the impact of lower sales. Facilities.
The successful execution of this tactic is helping to offset our current sales weakness and clearly benefiting our bottom line profit.
Our third quarter occupancy expenses on a consistent currency basis were $10 million below last year, Reflecting the main benefit of closing poor performing stores and some favourable new occupancy deals negotiated by our real estate department.
We continues to evaluate our store base closely and consider closing additional underperforming stores, Including ones that the world thinks will not achieve our internal capital allocation hurdle rates. Markets and we will pursue these odds diligently.
We have had a lot of success during most of the first three quarters of this year in reducing our SG expenses versus the comparable periods of last year. On the other hand as we are aggressive in reducing our expenses, We are also being prudent to make sure we maintain ugly our stores and continue to provide superior customer service.
As a share of sales,
Oakley Goggles Cheap, Our third quarter SG expenses were 30 basis points lower than both our second and third quarters. As i discussed last quarter, We are completing our expense objectives by aggressively negotiating prices across most of our expense categories. We are finding that many of our suppliers are being aggressive in their pricing structures ensure they retain our business.
Devaluation expense for the third quarter was $29 million, Or $3 million good quality to last year. The decrease in decline expense primarily reflects the asset impairment write downs taken last year.
相关的主题文章：
