The New York-based footwear and apparel retailer, Foot Locker, disclosed a decline in net income for the first quarter of fiscal 2022.
Net income decreased to $36 million compared to $133 million in the same quarter last year.
The company attributed the decline to the tough macroeconomic conditions affecting sales.
Mary Dillon, president and CEO of Foot Locker, stated that despite the launch of their Lace Up Strategy, sales have softened significantly.
The company has been taking more aggressive markdowns to drive demand and manage inventory.
Due to the decline in sales and the challenging business environment, Foot Locker has revised its full-year guidance.
The company now expects annual sales to dip by 6.5% to 8% and comparable sales to be down by 7.5% to 9%.
Alongside the earnings update, Foot Locker announced the appointment of Mike Baughn as the new executive vice president and chief financial officer.
Baughn, who joins Foot Locker from Kohl’s, will assume his new role on June 12.
Robert Higginbotham, the interim chief financial officer, will return to his previous position as senior vice president in investor relations and financial planning and analysis, reporting to Baughn..
