On Friday, Finish Line Inc. (NASDAQ: FINL) announced their first quarter fiscal year 2017 financial results. Shares of Finish Line jumped up 20.52% to $20.24 during U.S. stock market tumble.
According to the earnings announcement, Finish Line reported a profit of $9.6 million, or 23 cents a share, down from $13.7 million, or 30 cents a share, a year earlier. The latest quarter’s result included $35 million in expenses connected to store closings, down from a $168 million hit a year earlier.
“We delivered first quarter results that were in-line with expectations despite the challenging retail environment,” said Sam Sato, Chief Executive Officer of Finish Line. “Importantly, we’ve made further progress toward optimizing our supply chain and improving execution throughout the enterprise. We remain focused on successfully executing the strategic initiatives for our Finish Line, Macy’s, and JackRabbit businesses while creating an operating model that drives profitable growth and generates shareholder value consistently over the long-term.”
Like retailers across the spectrum, from department stores to specialty shops, Finish Line has been grappling with dwindling store traffic, the rise of Amazon Inc. (NASDAQ: AMZN) and shoppers’ shift towards fast-fashion retailers like Hennes & Mauritz and discount chains such as T.J. Maxx. The company has been moved to shut locations while ramping up its ecommerce capabilities.
For the fiscal year 2017 outlook, Finish Line expects comparable store sales to increase between the range of 3% to 5%, and earnings per share to be range between $1.50 to $1.56.