NIKE, Inc. (NKE) reported fourth-quarter earnings, which surpassed some analysts’ estimates and overcame supply-chain pressures that have lingered, however the sports giant said it expects gross margin to be flat to down 50 basis points.
Q4 Highlights For The Period Ended May 31 :
- Earnings per share of 90 cents were reported versus 81 cents expected.
- Revenue of $12.23 billion was reported versus $12.06 billion expected.
- The company reported net income for the three-month period ended May 31 of $1.44 billion, or 90 cents per share, compared with $1.51 billion, or 93 cents per share, a year earlier.
- Sales dropped to $12.23 billion from $12.34 billion a year earlier.
- Nike’s wholesale business trends were the opposite, sales in that division dropped 7% to $6.8 billion.
- In North America, Nike’s largest market, total sales dropped by 5% to $5.11 billion in the fourth quarter.
- Total sales in China dropped by 19% to $1.56 billion versus $1.93 in the year-ago period hit due to lockdowns.
- Nike anticipates first-quarter revenue will be flat to slightly up versus the prior year, as it continues to manage Covid disruption in Greater China. It said it anticipates full-year revenue will grow by low double-digits on a currency-neutral basis.
NIKE, Inc. (NKE) is the world’s top designer, marketer, and distributor of athletic footwear, equipment, apparel, and accessories. The Beaverton, Oregon-based company offers products for a wide variety of sports and fitness activities. To learn more about NIKE, Inc. (NIKE) and to continue to track its progress please visit the Vista Partners NIKE Coverage Page.