Note 2 - Revenue

3 Months Ended

Apr. 29, 2023

Notes to Financial Statements

Revenue from Contract with Customer [Text Block]

2. Revenue

The table below presents sales disaggregated by sales channel, as well as licensing revenue earned from our various franchised arrangements. Sales are attributable to the channel in which the sales transaction is initiated.

	Thirteen weeks ended
	April 29,		April 30,
($ in millions)	2023		2022
Sales by Channel
Stores	$	1,613	$	1,776
Direct-to-customers		314		399
Total sales		1,927		2,175
Licensing revenue		4		3
Total revenue	$	1,931	$	2,178

NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

2. Revenue (continued)

Revenue is attributed to the country in which the transaction is fulfilled, and revenue by geographic area is presented in the following table.

	Thirteen weeks ended
	April 29,		April 30,
($ in millions)	2023		2022
Revenue by Geography
United States	$	1,287	$	1,544
International		644		634
Total revenue	$	1,931	$	2,178

Sales by banner and operating segment are presented in the following table.

	Thirteen weeks ended
	April 29,		April 30,
($ in millions)	2023		2022
Foot Locker	$	744	$	807
Champs Sports		328		454
Kids Foot Locker		167		180
WSS		150		138
Other (1)		—		53
North America		1,389		1,632
Foot Locker		379		377
Sidestep		14		24
EMEA		393		401
Foot Locker		98		93
atmos		47		49
Asia Pacific		145		142
Total sales	$	1,927	$	2,175

⁽¹⁾ Other includes sales from banners that we no longer operate and primarily represented Eastbay in the prior-year period.

Contract Liabilities

We sell gift cards, which do not have expiration dates. Revenue from gift card sales is recorded when the gift cards are redeemed by customers. Breakage income is recognized as revenue in proportion to the pattern of rights exercised by the customer. The table below presents the activity of our gift card liability balance.

	April 29,			April 30,
($ in millions)	2023			2022
Gift card liability at beginning of year	$	36		$	46
Redemptions		(61	)		(65	)
Breakage recognized in sales		(4	)		(4	)
Activations		56			60
Gift card liability	$	27		$	37

We elected not to disclose the information about remaining performance obligations since the amount of gift cards redeemed after 12 months is not significant.

NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS