Sign up today for an exclusive discount along with our 30-day GUARANTEE — Love us or leave, with your money back! Click here to become a part of our growing community and learn how to stop gambling with your investments. We will teach you to BE THE HOUSE — Not the Gambler!

Click here to see some testimonials from our members!

Nike Stock Tumbles After Big Miss On North America Revenues

Courtesy of ZeroHedge View original post here.

Nike reported a surprising miss in revenue for the 3rd quarter, down 1% YoY ($10.36 billion, estimate $11 billion).

“NIKE continues to deeply connect with consumers all over the world driven by our strong competitive advantages,” said John Donahoe, President & CEO, NIKE, Inc.

“Our strategy is working, as we accelerate innovation and create the seamless, premium marketplace of the future. I’ve never been more confident in our leadership and teams to operate with agility in a dynamic environment.”

The breakdown highlights where the big breakdown was:

  • North America rev. $3.56 billion, estimate $4.15 billion

  • Greater China rev. $2.28 billion, estimate $1.98 billion

  • Asia Pacific & Latin America rev. $1.32 billion, estimate $1.42 billion

  • EMEA rev. $2.61 billion, estimate $2.99 billion

The blame was squarely put on the shoulders of supply-chain disruption:

Our third quarter revenue performance was impacted by disruption related to the COVID-19 pandemic, particularly in North America and EMEA. North America revenues declined 11 percent on a currency-neutral basis, largely driven by global container shortages and U.S. port congestion, which delayed the flow of inventory in the third quarter by more than three weeks, impacting timing of wholesale shipments, and partially offset by NIKE Direct growth of 15 percent.

But for now it wasn't enough to satisfy investors:

NKE execs did their best to provide something for investors to buy:

During its FY20 fourth quarter, the Company temporarily suspended share repurchase activity in March to maximize liquidity during the COVID-19 pandemic. Prior to the temporary suspension of the share repurchase program, a total of 45.2 million shares had been repurchased under the program for approximately $4.0 billion. The Company expects to resume share repurchases under its existing share repurchase program in the fourth quarter of fiscal 2021.

Sigh.


Do you know someone who would benefit from this information? We can send your friend a strictly confidential, one-time email telling them about this information. Your privacy and your friend's privacy is your business... no spam! Click here and tell a friend!





You must be logged in to make a comment.
You can sign up for a membership or get a FREE Daily News membership or log in

Sign up today for an exclusive discount along with our 30-day GUARANTEE — Love us or leave, with your money back! Click here to become a part of our growing community and learn how to stop gambling with your investments. We will teach you to BE THE HOUSE — Not the Gambler!

Click here to see some testimonials from our members!