Nike quarterly revenue and profit estimates lifted by North America demand
20 December 2021, Mumbai:
Nike Inc (NKE.N) beat quarterly revenue and profit estimates on Monday, lifted by strong demand for its sports shoes and apparel in North America, and said it was more confident of easing supply chain issues in its next fiscal year.
The company's shares rose 3.7% in extended trading. Nike's second-quarter sales in North America, its largest market, jumped 12%, as a reopening U.S. economy and the roll out of vaccines gave people confidence to rush back to stores and splurge on sneakers for running and hiking.
"Nike is doing well to get as much inventory as possible. Long term, I don't see the momentum going away from the company because the products are so highly coveted by consumers," said Jessica Ramirez, retail analyst at Jane Hali & Associates.
The sportswear maker said its direct-to-consumer business had record Black Friday sales in North America despite supply constraints heading into the holiday season due to months-long factory closures in Vietnam, where about half of all Nike footwear is manufactured.
REUTERS (The news article has not been edited by DFU Publications staff)
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