Exhibit 99.1

NEWS RELEASE

Foot Locker, Inc. Reports 2021 Fourth Quarter and Full Year Results;

Provides 2022 Outlook and Long-Term Strategy Update

· Total Sales Increased 6.9% in the Fourth Quarter and 18.7% in the Full Year

· Fourth Quarter EPS of $1.02 and Non-GAAP EPS $1.67

· Outlines Changes in Vendor Mix, Acceleration of Key Initiatives, and New Cost-Savings Program

· Announces 33% Dividend Increase and New $1.2 Billion Share Repurchase Program

NEW YORK, NY, February 25, 2022 – Foot Locker, Inc. (NYSE: FL), the New York-based specialty athletic retailer, today reported financial results for its fourth quarter and fiscal year ended January 29, 2022.

“We closed out a record year by delivering solid fourth quarter results that reflect the ongoing momentum we have built in our business in the midst of an evolving market,” said Richard Johnson, Chairman and Chief Executive Officer. “We made significant progress diversifying our brands, categories and channels in 2021, as well as expanding our customer base across demographics and high-growth geographies with the acquisitions of WSS and atmos. We also invested in our omni-channel platform to accelerate our DTC strategy and enhance the customer experience with new speed and convenience capabilities. And we continue to expand our private label merchandise offerings, including the most recent launch of our new womenswear brand.”

Mr. Johnson continued, “Our journey to diversify our mix of business and expand our reach as a house of brands and banners is ongoing. We look forward to continuing to build on the important areas of success from the past year that strengthen our position at the heart of the youth, sports, and sneaker communities.”

Fourth Quarter Results

The Company reported net income of $103 million, or $1.02 per share, for the 13 weeks ended January 29, 2022, compared with net income of $123 million, or $1.17 per share, for the corresponding prior-year period.

On a non-GAAP basis, the Company earned $1.67 per share (including a $0.20 gain from the mark-to-market of one of its minority investments), a 7.7% increase from non-GAAP earnings per share of $1.55 in the prior-year period.

Fourth quarter comparable-store sales increased by 0.8%, with apparel significantly outpacing footwear. Total sales increased by 6.9%, to $2.3 billion, compared with sales of $2.2 billion in the fourth quarter of 2020. Excluding the effect of foreign exchange rate fluctuations, total sales for the fourth quarter increased by 8.2%.

Gross margin remained relatively flat in the fourth quarter, decreasing by 10 basis points compared with the prior-year period, with strong merchandise margin gains offset by occupancy deleverage, which primarily reflects the elevated rent abatements in the prior year.

SG&A deleveraged by 140 basis points driven by increased labor costs, marketing and technology spend.

Non-GAAP Adjustments
During the fourth quarter of 2021, the Company recorded adjustments to earnings, which are detailed below in the accompanying reconciliation of GAAP to non-GAAP results. Adjustments included primarily 1) $26 million of impairments on underperforming stores, 2) $14 million charge due to the wind-down of Footaction, 3) $11 million of other various lease termination costs, 4) $10 million charge related to the impairment the Company's minority investments, and 5) $10 million of acquisition and integration costs, primarily representing investment banking fees.

Fiscal 2021 Results

The Company reported net income of $893 million, or $8.61 per share, for fiscal 2021, an increase of 179.5% in earnings per share as compared with net income of $323 million, or $3.08 per share, in fiscal 2020. Fiscal 2021 earnings per share were up 91.3% compared with $4.50 in fiscal 2019. On a non-GAAP basis, the Company earned $7.77 per share, a 176.5% increase from non-GAAP earnings per share of $2.81 in the prior year. Compared with non-GAAP earnings per share of $4.93 in fiscal 2019, non-GAAP earnings per share in fiscal 2021 were up 57.6%

Fiscal year comparable-store sales increased by 15.4%. Total sales of $9.0 billion in fiscal 2021 increased by 18.7% compared with sales of $7.5 billion in fiscal 2020, and 11.9% compared with $8 billion in 2019. Excluding the effect of foreign exchange rate fluctuations, total sales in fiscal 2021 increased by 17.8%.

Update on Vendor Mix and Long-Term Strategy

Beginning in the fourth quarter 2022, Foot Locker, Inc. does not expect any one vendor to represent more than 55% of total supplier spend, down from 65% in the fourth quarter of 2021. As a result, no single vendor is expected to represent more than approximately 60% of total purchases for fiscal 2022, down from 70% in 2021, and 75% in 2020. This change reflects the accelerated strategic shift to DTC by one of the Company’s vendors and Foot Locker, Inc.’s ongoing brand and category diversification efforts.

Consistent with Foot Locker Inc.’s strategies across elevating the customer experience, investing for long-term growth, and driving productivity, the Company will accelerate certain initiatives in 2022, including:

the near-term, is intended to better align the Company’s operating structure to its expected annual revenue baseline entering 2023 and to support profitable growth over time. The Company will provide additional details and progress of this plan during its first quarter earnings call.

Financial Outlook

The Company’s full year 2022 outlook is summarized in the table below.

Included in the outlook is the change in vendor mix expected in the fourth quarter of 2022 and the comparison against 2021’s fiscal stimulus, partially offset by the Company’s ongoing and accelerated strategies to broaden its mix across brands, categories and channels, growth in WSS and atmos, as well as the pending cost savings plan.

Andrew Page, Executive Vice President and Chief Financial Officer, said, “As we look to 2022, Foot Locker, Inc. is operating from a strong financial position and we continue to benefit from substantial flexibility in our real estate portfolio, allowing us to pivot our store footprint more easily as we amplify and optimize our omni-channel offerings. With the help of our external partners, we are looking to drive even more efficiency as we ensure alignment of our capital spend, cost structure and organization design in support of our strategic imperatives.”

Any restructuring-related charges in 2022 as a result of the announced cost-savings program would be excluded from non-GAAP results.

Financial Position and 2022 Capital Allocation Plans

As of January 29, 2022, the Company's merchandise inventories were $1.3 billion, 37.2% higher than at the end of the fourth quarter last year. Using constant currencies, inventory increased by 39.3%, putting the Company in a strong position to meet demand headed into 2022. At quarter-end, the Company's cash and cash equivalents totaled $804 million, while debt on its balance sheet was $457 million.

The Company's total cash position, net of debt, was $347 million, as compared with $1.6 billion last year. During the fourth quarter of 2021, the Company repurchased 4.0 million shares for $178 million, paid a quarterly dividend of $0.30 per share, for a total of $29 million, invested $325 million for the acquisition of atmos, and paid down debt of $98 million. For full-year 2021, the Company repurchased 7.5 million shares for a total of $348 million and paid a total of $101 million in dividends.

The Board of Directors approved a $275 million capital expenditures program for 2022. Further, the Board of Directors declared a quarterly cash dividend on the Company's common stock of $0.40 per share, a 33% increase from the prior $0.30 per share, back to pre-pandemic levels. The Dividend will be payable on April 29, 2022 to shareholders of record on April 14, 2022. The Board will continue to evaluate the dividend program on a quarterly

basis. The Board has also authorized a new share repurchase program for the repurchase of up to $1.2 billion of Foot Locker, Inc.’s outstanding common stock.

Store Base Update

During the fourth quarter, the Company opened 60 new stores, acquired 38 atmos stores, remodeled or relocated 115 stores, and closed 76 stores. Additionally, we closed 120 Footaction stores, of which we converted 45 stores to other banners.

As of January 29, 2022, the Company operated 2,858 stores in 28 countries in North America, Europe, Asia, Australia, and New Zealand. In addition, 142 franchised stores were operating in the Middle East and Asia.

Conference Call and Webcast

The Company is hosting a live conference call at 9:00 a.m. ET today, Friday, February 25, 2022, to review these results and outlook and provide an update on the business. This conference call may be accessed live by calling toll-free 1-844-701-1163 or international toll 1-412-317-5490, or via the Investor Relations section of the Foot Locker, Inc. website at https://www.footlocker-inc.com. Please log on to the website 15 minutes prior to the call to register. An archived replay of the conference call can be accessed approximately one hour following the end of the call at 1-877-344-7529 in the U.S. or 1-855-669-9658 in Canada or 1-412-317-0088 internationally with passcode 7575000 through March 11, 2022. A replay of the call will also be available via webcast from the same Investor Relations section of the Foot Locker, Inc. website at https://www.footlocker-inc.com.

Disclosure Regarding Forward-Looking Statements

This report contains forward-looking statements within the meaning of the federal securities laws. Other than statements of historical facts, all statements which address activities, events, or developments that the Company anticipates will or may occur in the future, including, but not limited to, such things as future capital expenditures, expansion, strategic plans, financial objectives, dividend payments, stock repurchases, growth of the Company’s business and operations, including future cash flows, revenues, and earnings, and other such matters, are forward-looking statements. These forward-looking statements are based on our current expectations and beliefs concerning future developments and their potential effect on us, which are detailed in the Company’s filings with the U.S. Securities and Exchange Commission.

These forward-looking statements are based largely on our expectations and judgments and are subject to a number of risks and uncertainties, many of which are unforeseeable and beyond our control. For additional discussion on risks and uncertainties that may affect forward-looking statements, see "Risk Factors" disclosed in the Company's Annual Report on Form 10-K for the year ended January 30, 2021 filed on March 25, 2021 and Quarterly Report on Form 10-Q for the quarter ended October 30, 2021 filed on December 8, 2021. Any changes in such assumptions or factors could produce significantly different results. The Company undertakes no obligation to update forward-looking statements, whether as a result of new information, future events, or otherwise.

Consolidated Statements of Operations

(unaudited)

Periods ended January 29, 2022 and January 30, 2021

(In millions, except per share amounts)

Non-GAAP Financial Measures

In addition to reporting the Company's financial results in accordance with generally accepted accounting principles (“GAAP”), the Company reports certain financial results that differ from what is reported under GAAP. We have presented certain financial measures identified as non-GAAP, such as sales changes excluding foreign currency fluctuations, adjusted income before income taxes, adjusted net income, and adjusted diluted earnings per share.

We present certain amounts as excluding the effects of foreign currency fluctuations, which are also considered non-GAAP measures. Where amounts are expressed as excluding the effects of foreign currency fluctuations, such changes are determined by translating all amounts in both years using the prior-year average foreign exchange rates. Presenting amounts on a constant currency basis is useful to investors because it enables them to better understand the changes in our business that are not related to currency movements.

These non-GAAP measures are presented because we believe they assist investors in comparing our performance across reporting periods on a consistent basis by excluding items that we do not believe are indicative of our core business or affect comparability. In addition, these non-GAAP measures are useful in assessing our progress in achieving our long-term financial objectives.

We estimate the tax effect of all non-GAAP adjustments by applying a marginal tax rate to each of the respective items. The income tax items represent the discrete amount that affected the period.

Non-GAAP Reconciliation

(unaudited)

Periods ended January 29, 2022 and January 30, 2021

(In millions, except per share amounts)

The non-GAAP financial information is provided in addition to, and not as an alternative to, our reported results prepared in accordance with GAAP. The various non-GAAP adjustments are summarized in the tables below.

Reconciliation of GAAP to non-GAAP results:

Non-GAAP Reconciliation

(unaudited)

Periods ended January 29, 2022 and January 30, 2021

(In millions, except per share amounts)

Notes on Non-GAAP Adjustments:

Impairment of long-lived assets and right-of-use assets were $40 million and $92 million for the thirteen and fifty-two weeks ended January 29, 2022, respectively. During the second quarter of 2021, we conducted an impairment review of Footaction stores as a result of the Company’s decision to convert a portion of the stores to other existing banner concepts and close the remaining stores. The Company evaluated the long-lived assets, including the right-of-use assets and recorded non-cash charges to write down store fixtures, leasehold improvements, and right-of-use assets for approximately 60 locations. Further, we accelerated tenancy charges for leases we expect to terminate prior to the end of the lease term. Related to Footaction, we recorded charges of $39 million, $13 million, and $14 million for the second, third, and fourth quarters, respectively. During the fourth quarters of 2021 and 2020, we conducted impairment reviews of underperforming stores and recorded impairment charges of $26 million and $62 million, respectively, to write down store fixtures, leasehold improvements, and right-of-use assets. The prior year amount also included charges totaling $15 million related to certain Runners Point and Sidestep stores and other underperforming stores in Europe.

The Company recorded acquisition and integration costs of $10 million and $24 million for the thirteen and fifty-two weeks ended January 29, 2022, respectively, which primarily represented investment banking fees and third-party integration services related to the WSS and atmos acquisitions.

Impairment of minority investments were $10 million and $42 million for the thirteen and fifty-two weeks ended January 29, 2022, respectively. Included in the prior year was a fourth quarter charge of $4 million. These charges were necessitated by the investee’s continued losses and updated estimates of value.

Additionally, the thirteen and fifty-two weeks ended January 29, 2022, included $11 million and $15 million, respectively, of lease-related termination costs for several locations. Support function reorganization costs, primarily severance, totaled $2 million and $4 million for the thirteen and fifty-two weeks ended January 29, 2022, respectively. Prior year reorganization costs totaled $4 million and $7 million thirteen and fifty-two weeks ended January 30, 2021, respectively.

Other charges included:

Partially offsetting these losses and charges was $14 million of additional insurance recoveries recorded in 2021, $7 million of which was classified in impairment and other charges as it relates to the book value of property losses recorded in 2020. In 2020, the Company recorded net losses of $8 million, representing losses of $19 million offset, in part, by a partial insurance recovery recorded in the fourth quarter of 2020 of $11 million.

For the fifty-two weeks ended January 30, 2021, the Company recorded non-cash gains of $190 million, or $140 million after-tax. This income was related to our minority investment in GOAT in connection with funding at a higher valuation.

Consolidated Balance Sheets

(unaudited)

(In millions)

Store Count and Square Footage

(unaudited)

Store activity is as follows:

Selling and gross square footage are as follows: