The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
BEAVERTON, United States — Nike Inc.'s fourth-quarter profit topped analysts' estimates, helped by new product releases and strong sales growth in North America, its largest market.
Net income rose to $865 million, or 98 cents a share, from $698 million, or 78 cents, a year earlier, the Beaverton, Oregon-based company said Thursday in a statement. Analysts had estimated about 83 cents on average, according to data compiled by Bloomberg.
Nike, the world’s largest sporting-goods maker, has fueled growth by investing in innovation and introducing scores of new products each year. The company also has benefited from fashion trends shifting toward casual and comfort -- what’s been dubbed “athleisure.”
"Our consistent growth is fueled by our connection to the consumer and our ability to deliver innovation at an unprecedented pace and scale," Chief Executive Officer Mark Parker said in the statement.
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Nike shares rose 2.7 percent to $108.11 in late trading after the results were released.
Worldwide futures orders were up 13 percent, excluding the effects of foreign-currency exchange-rate fluctuations. Analysts estimated a 10.4 percent gain on average, according to data collected by Consensus Metrix. The measure is closely watched because investors view it as a proxy for future sales.
In 2020, like many companies, the $50 billion yoga apparel brand created a new department to improve internal diversity and inclusion, and to create a more equitable playing field for minorities. In interviews with BoF, 14 current and former employees said things only got worse.
For fashion’s private market investors, deal-making may provide less-than-ideal returns and raise questions about the long-term value creation opportunities across parts of the fashion industry, reports The State of Fashion 2024.
A blockbuster public listing should clear the way for other brands to try their luck. That, plus LVMH results and what else to watch for in the coming week.
L Catterton, the private-equity firm with close ties to LVMH and Bernard Arnault that’s preparing to take Birkenstock public, has become an investment giant in the consumer-goods space, with stakes in companies selling everything from fashion to pet food to tacos.