Companies and Brands
Nike Whiffs on the Top Line Despite Solid Earnings
Published:
Last Updated:
Nike Inc. (NYSE: NKE) reported fiscal third-quarter financial results after the markets closed on Tuesday. The company said it had $0.55 in earnings per share (EPS) on $8.03 billion in revenue, compared to consensus estimates from Thomson Reuters that called for $0.49 in EPS on $8.20 billion in revenue. The same period from last year had $0.45 in EPS on $7.46 billion in revenue.
In this quarter revenues rose 8%, but on a currency neutral basis revenues were actually up as much as 14%. In terms of the brand breakdown, the Nike brand revenues totaled $7.6 billion up 15% on a currency neutral basis, while the Converse brand revenues only totaled $489 million down 5% on a currency neutral basis.
During the third quarter, Nike repurchased a total of 24.3 million shares for roughly $1.5 billion and concluded the previous four-year, $8 billion share repurchase program approved in September 2012. Nike has begun repurchasing shares under its new $12 billion authorization approved in November 2015. So far under this new program about $650 million was used to repurchase shares in the fiscal third quarter.
24/7 Wall St.Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Editors' Picks
