Nike has announced its financial results for the first quarter of the current fiscal. During the quarter under review, revenues for NIKE, Inc. stood $9.1 billion, flat to prior year on both a reported and currency-neutral basis.
Beaverton, Oregon-based Nike noted 24 per cent decrease in net income to $950 million in the reporting period. In view of rising competition from Adidas AG, Nike expects a further drop in revenue from North America.
Its gross margins also noted decline while inventories for NIKE, Inc. noted 6 per cent increase $5.2 billion from August 31, 2016. The sportswear retailer did not get the desired results from North America which is its largest revenue contributor. The revenue instead declined 3 per cent, a deviation in more than 10 quarters.
“Looking ahead to the rest of fiscal 2018, we will ignite NIKE’s next horizon of global growth through the strength of our brand, the power of our innovative products and the most personal, digitally-connected experiences in our industry,” said Mark Parker, Chairman, President and CEO, NIKE, Inc in a statement issued.
Nike noted 9 per cent increase in sales from China while revenue from the Europe, Middle East and Africa (EMEA) region grew 4 percent in the particular quarter.
