The Finish Line, Inc. (NYSE: FINL) has reported quarterly earnings topping earnings expectations yet disappointing with declining profits. Shares of the company fell about 2% after the earnings announcement.
The retailer of athletic shoes, apparel and accessories has reported consolidated net sales of $509.4 million, an increase of 5.4% over the prior year period.
Sam Sato, Chief Executive Officer of Finish Line, said in the statement, “The combination of top-line growth and disciplined expense management allowed us to partially offset the planned gross margin pressure from our successful inventory reduction actions and deliver earnings in-line with expectations. With our enhanced supply chain now operating efficiently, our focus shifts to streamlining our organizational structure to optimize productivity, adapt more quickly to market changes and better serve our customers. I am pleased with how we continue to execute our plan for fiscal 2017 while at the same time taking the necessary steps to position the company for long-term profitable growth.”
For the fiscal year ending February 25, 2017, the company still expects Finish Line comparable store sales to increase in the 3% to 5% range and diluted earnings per share to be between $1.50 and $1.56.