Nike Inc. announced today second-quarter results after the market close that surpassed market watchers’ expectations.
The Beaverton, Ore.-based company reported that its net income increased 7 percent during the period, to $842 million, or 50 cents per diluted share, significantly topping Wall Street’s consensus bet for diluted earnings per share of 43 cents.
Revenues also advanced 6 percent year-over-year to $8.2 billion, beating estimates for revenues of $8.1 billion. Meanwhile, Nike’s key North American market continued to show modest gains, with sales growing 3 percent. (In Q1, revenues in the market gained 6 percent.)
Sales for the Nike brand also gained 8 percent to, $7.7 billion, driven by double-digit currency neutral growth in Western Europe, Greater China and emerging markets as well as the sportswear and running categories, according to the company.
Nike said revenues for Converse were $416 million, up 5 percent on a currency neutral basis, driven by strong growth in North America.
“Nike’s ability to attack the opportunities that consistently drive growth over the near and long term is what sets us apart,” said Nike’s president, chairman and CEO Mark Parker in a release. “With industry-defining innovation platforms, highly anticipated signature basketball styles and more personalized retail experiences on the horizon, we are well-positioned to carry our momentum into the back half of the fiscal year and beyond.”
Nike said it would provide details on futures orders — an important measure of future demand for Nike’s wares at retail — during the third-quarter conference call.
As of 4:35 p.m. ET today, Nike’s shares had edged up 1.2 percent, to $52.38, in after-market trading.