In its annual report, Foot Locker stated that 67% of its merchandise in 2017 was purchased from Nike Inc. (that includes Jordan Brand and Converse), down from 68% in 2016.
According to SGB Media, Foot Locker said each of its operation divisions is highly dependent on Nike; individually, they purchases 44% to 73% of their merchandise from Nike during 2017.
Additionally, Foot Locker said it purchased approximately 93% of its merchandise in 2017 from just five suppliers, up from 91% in 2016. The only other brands, besides Nike, mentioned in the annual report were adidas and Puma.
According to Foot Locker, Inc.’s 2017 fiscal year results, sales were $7.782 billion, an increase of 0.2% from sales in 2016, and the most in the company’s history as an athletic business. However, net income decreased to $284 million in 2017 ($2.22 per share), down from $664 million ($4.91 per share) in 2016. The company was highly profitable in 2017.
During the fourth quarter, Foot Locker, Inc. opened 28 new stores, remodeled or relocated 45 stores, and closed 67 stores. According to the company, as of February 3, 2018, the company operated 3,310 stores in 24 in North America, Europe, Australia, and New Zealand. In the Middle East, 98 franchised Foot Locker stores were operating, as well as 14 franchised Runners Point stores in Germany.
Foot Locker, Inc.’s stores include Foot Locker, Lady Foot Locker, Kids Foot Locker, Champs Sports Footaction, Runners Point, Sidestep, and SIX:02. The company also operates Eastbay.
You can learn more by checking out the full Foot Locker, Inc. 2017 fourth quarter and full year results.