Nike increased its quarterly profit by 19% and agreed sales through Amazon


Moscow. June 30. INTERFAX.RU – the world’s Largest manufacturer of sports goods, Nike has increased profits and revenue in the fiscal fourth quarter more than expected and announced the launch of a pilot programme to sell sneakers and clothing through Amazon.com. According to a press release from Nike, the company’s net profit for the quarter ended may 31, rose 19% to $1.01 billion, or $0,61 a share, compared with $846 million, or $0.50 per share, for the same period a year earlier.

Revenue increased by 5%, to $8, 68 billion, thanks to demand in China and other developing countries. The consensus forecast of experts, the wall street for revenues was $8,63 billion, for a profit of 50 cents a share. Sales in North America, which is the biggest market for Nike, almost unchanged, amounting to $3,76 billion, and stopped short of the average forecast of experts polled by FactSet of $3.8 billion In Western Europe there was an increase of 4% in greater China 11%.

Gross margin decreased to 44.1% to 45.9% a year earlier. At the end of last fiscal year, Nike increased revenue by 6%, to $34,35 billion, net profit – by 13%, to $4.24 billion

During a conference call for analysts after the publication of the reporting the head of Nike mark Parker said that via Amazon will sell a “limited production range”, including sports footwear, apparel and accessories. “We are in the early stages, but look forward to the results of the pilot program,” he said.

Previously between Nike and Amazon was a long standoff, due to the fact that some stores on Internet site offered counterfeit products under the brand name Nike. According to a recent survey by Morgan Stanley, Nike is the best selling brand clothes and shoes at Amazon, although not working with the site directly.

Nike shares in electronic trading after the close of the main session in new York on Thursday has risen in price by 7.8%. With the beginning of the year capitalization of the company increased by 4.6%, topping $88 billion.

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