Summary
Foot Locker is closing some of its stores after being acquired by Dick's Sporting Goods for $2.4 billion. This is part of Dick's plan to simplify inventory and close stores that are not performing well. The move aims to improve Foot Locker's business success by 2026.
Key Facts
- Foot Locker was bought by Dick's Sporting Goods in September for $2.4 billion.
- Dick's is closing Foot Locker stores that are not performing well.
- Store closures are part of cleaning up inventory and improving profits.
- Foot Locker's fourth-quarter profits are expected to be negative.
- Dick's increased its 2025 sales growth forecast to 3.5% - 4%.
- Earnings per share for Dick's are expected to rise to between $14.25 and $14.55.
- Foot Locker is undergoing changes to boost success by 2026.
- The retail industry is facing challenges as consumers spend less and brands sell directly to customers.
