Products You May Like
Nike shares climbed around 3% in extended trading Monday after the sneaker maker reported fiscal second-quarter earnings and sales that topped analysts’ expectations, despite ongoing supply chain pressures.
Chief Executive Officer and President John Donahoe said the retailer is in a “much stronger competitive position” than it was pre-pandemic.
Here’s how Nike did in the three-month period ended Nov. 30 compared with what analysts were anticipating, using Refinitiv estimates:
- Earnings per share: 83 cents vs. 63 cents expected
- Revenue: $11.36 billion vs. $11.25 billion expected
Nike said net income rose to $1.34 billion, or 83 cents a share, from $1.25 billion, or 78 cents per share, a year earlier. That topped analysts’ expectations for earnings of 63 cents a share.
Revenue rose 1% to $11.36 billion from $11.24 billion, outpacing estimates of $11.25 billion.
Sales in North America, Nike’s biggest market, climbed 12%, representing the highest growth of all geographies.
Sales in Greater China fell 20%, while revenue in its Europe, Middle East and Africa region grew 6%.
Nike said its digital sales rose 12% year over year, while sales through Nike Direct were up 9%. The company has increasingly pulled its goods out of wholesale channels, such as discount stores, and instead is selling more workout gear through its own website and stores.
The company didn’t offer an update for its full-year outlook in its earnings release. Earlier this year, Nike slashed its revenue forecast for fiscal 2022 to account for longer transit times, labor shortages and prolonged production shutdowns in Vietnam.
Find the full earnings press release from Nike here.
This story is developing. Please check back for updates.