Nike just does it everywhere but China

Nike has posted another set of impressive figures with its results for the first quarter of financial 2013-14 ended Aug. 31. The group’s sales were up by 8 percent to $7.0 billion. The Swoosh brand alone improved by 7 percent on a currency neutral basis to $6.5 billion. The Nike brand is, however, subject to a change in reporting: The figures for Hurley and Nike Golf, formerly published as “Other Businesses”, are now integrated in the Nike brand, while Converse’s sales are reported separately. Converse increased its turnover by currency neutral 16 percent to $494 million, mainly thanks to a strong performance in North America, the UK and China. The entire group’s gross margin was up by 120 basis points compared with last year’s first quarter and reached 44.9 percent, while net income soared by 33 percent to $780 million. In geographical terms, the Nike brand improved its sales in all regions but Greater China and also faced a special situation in Japan where sales were down by 20 percent in reported US dollars, but up by 1 percent in constant currencies. In Greater China sales were down by 3 percent in constant currencies and by 1 percent in dollars and reached $574 million. Western Europe continued to be solid with a gain of 11 percent in dollars and 8 percent in local currencies. Total sales in this region just topped $1.3 billion. In central and eastern Europe, turnover was $366 million, up by 12 percent in dollars and by 10 percent in local money.

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