Skip to main content
BoF Logo

The Business of Fashion

Agenda-setting intelligence, analysis and advice for the global fashion community.

Nike Smashes Sales Estimates Thanks to Rebound in China

Sales in China rose 6 percent while in North America, the company's biggest market, sales fell 2 percent.
Source: Shutterstock
By
  • Reuters

BEAVERTON, United States — Nike Inc comfortably beat analysts' estimates for quarterly revenue and profit on Tuesday, powered by a rebound in demand in China and strong online sales, sending its shares up about 9 percent.

The footwear maker has benefited from its focus on direct-to-consumer sales, especially through its own outlets and apps, as the pandemic has forced customers to avoid shopping at malls and department stores.

The Nike brand's digital sales surged 82 percent in the first quarter ended Aug. 31, with at least double-digit rises recorded in all regions.

Overall, sales in China, where the economy opened from lockdowns much earlier than in other parts of the world, rose 6 percent.

ADVERTISEMENT

In North America, the company's biggest market, sales fell 2 percent to $4.23 billion, but easily beat analysts' estimate of $3.39 billion, according to IBES data from Refinitiv.

"Nike is recovering faster based on accelerating brand momentum and digital growth," Chief Financial Officer Matt Friend said in a statement.

The company's net income rose to $1.52 billion, or 95 cents per share, from $1.37 billion, or 86 cents per share, a year earlier.

Revenue fell 0.6 percent to $10.6 billion.

Analysts had forecast a profit of 47 cents per share and revenue of $9.15 billion.

By Nivedita Balu; editor: Sriraj Kalluvila

In This Article

© 2024 The Business of Fashion. All rights reserved. For more information read our Terms & Conditions

More from Retail
Analysis and advice from the front lines of the retail transformation.

Adidas Prepares for Samba Slump

As the German sportswear giant taps surging demand for its Samba and Gazelle sneakers, it’s also taking steps to spread its bets ahead of peak interest.


Op-Ed | The Rise of the Unwasteful Brand

A profitable, multi-trillion dollar fashion industry populated with brands that generate minimal economic and environmental waste is within our reach, argues Lawrence Lenihan.


Fashion’s Stalled Self-Checkout Revolution

RFID technology has made self-checkout far more efficient than traditional scanning kiosks at retailers like Zara and Uniqlo, but the industry at large hesitates to fully embrace the innovation over concerns of theft and customer engagement.


view more

Subscribe to the BoF Daily Digest

The essential daily round-up of fashion news, analysis, and breaking news alerts.

The Business of Fashion

Agenda-setting intelligence, analysis and advice for the global fashion community.
CONNECT WITH US ON
The State of Fashion 2024
© 2024 The Business of Fashion. All rights reserved. For more information read our Terms & Conditions, Privacy Policy, Cookie Policy and Accessibility Statement.
The State of Fashion 2024