- 27th June 2019
- Posted by: Hakeem
- Categories: Innovation, Technology
- Nike’s fiscal fourth-quarter earnings slightly miss analysts’ estimates.
- Revenues beat.
- Nike’s margins were hurt partially because of its direct-to-consumer investments.
Nike sold more sneakers and gear during the fiscal fourth quarter than Wall Street expected, helping to boost revenues by 4% to just over $10 billion.
Its earnings released Thursday, however, missed analysts’ expectations by a few pennies a share, and the stock initially fell by more than 4% in after-hours trading before rebounding. Shares were trading down 1% by 4:30 p.m. ET.
Nike earned 62 cents a share on an adjusted basis during the three months ended May 31, short of Wall Street’s forecast for 66 cents a share, according to average analysts’ estimates compiled by Refinitiv.
Revenues for the Nike brand, which excludes Converse merchandise, jumped 10% from the same quarter last year to $9.7 billion. Converse sales were about flat at $491 million.
Total sales in North America, excluding fluctuations in currency rates, were up 8%. Sales in the China region surged 22%.