Nike Inc.’s revenues during the second quarter of 2021 rose 9% year over year or 7% on a currency-neutral basis to $11.2 billion, according to the company’s press release. The revenue increases were driven by growth across all geographies, led by Greater China, which rose 24%.
- Direct sales were $4.3 billion, up 32% on a reported basis and up 30% on a currency-neutral basis, with double-digit growth across all geographies.
- Brand digital sales rose 84% or 80% on a currency-neutral basis, with triple-digit growth in North America and strong double-digit increases in EMEA, Greater China, and APLA.
- Diluted earnings per share for the quarter was $0.78, up 11%, and the company paid dividends of $385 million, up 12% year over year.
- Inventories fell 2% year over year to $6.1billion and have returned to healthy levels globally.
- Cash and cash equivalents and short-term investments rose $8.3 billion to $11.8 billion year over year on proceeds of corporate bond issuance in March and positive free cash flow.
- Gross margin fell by 90 basis points to 43.1%, driven by higher promotional activity to reduce excess inventory resulting from COVID-19 impacts and restructuring-related costs.
- Net income rose 12% to $1.3 billion, on stronger revenue growth and lower selling and administrative expenses.
Nike’s stock is currently gaining. NKE: NYSE is up 3.67%