Nike: Q3 revenues below estimates.
(CercleFinance.com) - Last night, Nike reported Q3 revenues that were below expectations for its staggered fiscal year (to end-February).
Although the American sports equipment giant recorded a 5% y-o-y increase in revenues over the period at 8.43 billion dollars (+7% excluding FX factors), the consensus was more optimistic, looking for 8.47 billion dollars.
In particular, revenues were up just 3% in North America, Nike's main market, while they rose 9% in China (+15% excluding FX factors), after an impressive nine consecutive quarters of double-digit growth in Chinese sales.
Meanwhile, net income came in at 1.14 billion dollars or 68 cents a share, against 950 million dollars, or 55 cents a share in Q3 of the previous FY. Meanwhile, analysts were expecting 53 cents per share.
The group expects a slower pace of earnings growth than that of the previous quarter, while the gross margin is expected to decline by 150 to 175 basis points over one year.
Copyright (c) 2017 CercleFinance.com. All rights reserved.