Nike: Q3 EPS down 22%

(CercleFinance.com) - Nike has posted Q3 2019-20 EPS that is down 22% at 53 cents, burdened by a charge relating to the transition towards a strategic distributor model in South America and by the impact of the coronavirus epidemic in China.


These unfavourable factors more than offset a 5% growth in revenues from the sporting goods giant (+7% at constant exchange rates), to 10.1 billion dollars, driven by Nike Direct and EMEA (Europe, Middle East, Africa).

Its gross margin contracted by 80 basis points to 44.3%, mainly due to the impact of Covid-19, including a weaker sales mix in Greater China, its geographic area that has the highest margins.


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