Nike stock skyrockets ahead of commercialization after record quarter
Nike shares soar ahead of the opening bell on Friday, as the footwear and apparel company posted record fourth-quarter tax sales in North America and gave better full-year revenue guidance provided that.
Revenues for the Washington County-based company totaled $ 12.34 billion in the fourth quarter, easily exceeding the $ 11.06 billion forecast by analysts polled by Zacks Investment Research.
In North America, Nike Inc.’s revenue soared 141% to $ 5.38 billion.
Nike also recorded strong sales for its eponymous brand, increasing 88% to $ 11.8 billion. Converse brand revenue soared 85% to $ 596 million.
Sales were also helped by the increase in wholesale shipments. A year earlier, those shipments had been hampered by retail store closings during the COVID-19 pandemic, but many stores have since reopened in recent months.
Online sales are up 41% from a year ago and 147% from the fourth quarter of 2019.
And Nike continues to find success with its SNKRS app, which immediately sells new versions of sneakers and constant trends on Twitter. President and CEO John Donahoe said on a conference call that demand for SNKRS has increased by more than 90% and the number of monthly active users has increased by almost 80% over the course of the year. fourth trimester.
For the three months ended May 31, Nike made a profit of $ 1.51 billion, or 93 cents per share. Analysts polled by Zacks were expecting 51 cents a share.
Looking ahead, Nike CFO Matthew Friend said the company expects fiscal 2022 revenue growth of a small double-digit percentage, topping $ 50 billion. Analysts polled by FactSet expected revenue of $ 48.47 billion.
Nike shares rose 12.6% in pre-market trading.
– The Associated Press