Nike boosted on Wall Street by strong sales in North America and online

Nike Boosted On Wall Street By Strong Sales In North

The group has, in particular, benefited from the resumption of sports activities as the vaccination campaigns against Covid-19

Nike announced Thursday a sharp increase in its quarterly turnover, driven by record sales in North America, where sports activities are resuming, and the continued growth of its online sales.

The stock soared on the heels of 6.4% in electronic trading following the close of the New York Stock Exchange. In the three months ending at the end of May, the equipment maker sold $ 12.3 billion worth of shoes and sportswear, nearly twice as much as in the same period in 2020 when many stores were closed due to the pandemic. In North America, Nike’s main market, sales soared 141%.

The group took advantage of the resumption of sports activities as the vaccination campaigns against Covid-19 progressed as well as the postponement of deliveries that could not be sent on time in the previous quarter due to port congestion. Americans. Online sales of the Nike brand (excluding Converse) increased by 41%, 147% compared to 2019.

Net income of $ 1.51 billion

With these strong revenues, the group posted a net profit of 1.51 billion dollars when it had lost 790 million a year earlier. Reported on a per share basis and excluding special items, the preferred measure of Wall Street investors, profit was 93 cents, well above the expected 51 cents. For its entire fiscal year ending in late May, Nike’s revenue grew 19% to $ 44.5 billion. Sales increased in all geographies, notably increasing by more than 10% for the seventh consecutive year in China.

The group however found itself at the center of a controversy on social networks in March in the country for having decided to against the background of allegations of “forced labor” of Uyghurs. Nike brand online sales grew 64% over the past fiscal year. Despite the temporary closure of many stores, sales increased by 4%.