Foot Locker Inc. (FL) reported a notable change in momentum during Q2 2024, marking a return to positive total and comparable sales growth, with reported comp growth of 2.6%, surpassing initial projections of a flat to slightly positive result. The company’s strategic focus, under its Lace Up Plan, is beginning to yield impactful results as evidenced by a gross margin expansion of 50 basis points year-over-year. However, management acknowledged continued pressures from global economic conditions and inflation, particularly affecting their WSS banner. Net income showed a loss of $12 million for the quarter, with non-GAAP EPS at a loss of $0.05, impacted by the non-recurring FLX rewards program costs. Management expressed confidence in the company's trajectory, maintaining its full-year guidance for non-GAAP EPS between $1.50 and $1.70, indicative of an encouraging outlook for Q3 and beyond.