Nike’s direct sales were $5.4 billion, up 16 per cent YoY on a reported basis. The company’s wholesale revenue grew 19 per cent YoY on a reported basis, Nike said in a press release.
Selling and administrative expense in Q2 FY23 increased 10 per cent to $4.1 billion, compared to the corresponding period of the previous fiscal.
Nike, Inc, a leading designer, marketer and distributor of authentic athletic footwear and apparel, has reported a 17-per cent YoY increase in revenue to $13.3 billion in the second quarter of fiscal 2023. The Gross margin decreased 300 basis points to 42.9 per cent, primarily due to higher markdowns to liquidate inventory, particularly in North America.
The company’s net income was $1.3 billion, flat compared to the previous year, and diluted earnings per share was $0.85, increasing 2 per cent.
Revenue for the Nike Brand was $12.7 billion, up 18 per cent YoY on a reported basis, while the revenue for Converse was $586 million, up 5 per cent YoY on a reported basis.
In Q2 FY23, Nike Brand’s digital sales increased 25 per cent YoY on a reported basis.
Nike’s cash and equivalents and short-term investments in Q3 FY23 were $10.6 billion, down approximately $4.5 billion from last year.
“Nike’s results this quarter are a testament to our deep connection with consumers,” said John Donahoe, president and CEO, NIKE, Inc. “Our growth was broad-based and was driven by our expanding digital leadership and brand strength. These results give us confidence in delivering the year as our competitive advantages continue to fuel our momentum.”
“Consumer demand for NIKE’s portfolio of brands continues to drive strong business momentum in a dynamic environment. We remain focused on what we can control, and we are on track to deliver on our operational and financial goals—setting the foundation for sustainable, profitable growth,” said Matthew Friend, executive vice president and chief financial officer.
Fibre2Fashion News Desk (DP)
