Nike Inc. reported third-quarter profits more than doubled and sales climbed, with revenue in China and other emerging markets leading the way.
For the three months ended Feb. 28, the athleticwear giant said Wednesday income was $496.4 million, or $1.01 a diluted share, compared with $243.8 million, or 50 cents a diluted share, in the year-ago quarter. Analysts were expecting earnings per share at 89 cents. Excluding year-ago aftertax noncash charges of $241 million for impairment of goodwill, intangible and other assets of its Umbro subsidiary, net income would have increased 2.5 percent for the period, the company said.
Revenues rose 6.6 percent to $4.73 billion from $4.44 billion. Volume in the Greater China region gained 10 percent to $458 million and emerging markets jumped 43 percent to $509 million. North America rose 1 percent to $1.7 billion and Western Europe increased 4 percent to $929 million. Central and Eastern Europe saw an 8 percent decline in revenue to $272 million, and Japan posted a 7 percent drop to $213 million.
Mark Parker, president and chief executive officer, told Wall Street analysts on a conference call, “We returned to top- and bottom-line growth in the third quarter,” and the company is “seeing improving trends” in the marketplace.
“Apparel is the single biggest opportunity for Nike Inc.,” Parker said. He said the Beaverton, Ore.-based company is offering “fewer, more productive styles” in sportswear, which will result in a clearer position for the brand and a “more efficient and more profitable apparel business.”
The company said worldwide futures orders for Nike brand athletic footwear and apparel set for delivery between March and July were $7.1 billion, 9 percent higher than the year-ago period.
For the year, income gained 20.9 percent to $1.38 billion, or $2.81 a diluted share, from $1.15 billion, or $2.33 a diluted share, a year ago on reduced costs and inventory. Revenues fell 3.6 percent to $13.94 billion from $14.46 billion.
@kith is moving into children’s. The men’s and women’s streetwear brand has launched Kidset, a Kith kids line located in New York at 64 Bleecker Street. The line includes mini versions of staple Kith pieces like the Astor bomber jacket and the Kith box logo sweatshirts, along with a wall that can display up to 120 pairs of shoes from @adidas, @newbalance, @timberland and more. #wwdfashion
“I just wanted to create this fully rounded character, but I do think what excited me most was just the opportunity to give a group of people representation that I feel needs it. I like to do characters in projects that stand for something and Karolina definitely does, so that was really exciting to me,” @ginnygardner says of her new role in @hulu’s “The Runaways.” Gardner plays Karolina Dean, a queer superhero, which is a rarity for @marvel. Read more about Gardner’s character on WWD.com #wwdeye (📷: @dandoperalski)
@heriethpaul and @gracebol have a moment on the @victoriassecret fashion show 2017. See every look from the runway on WWD.com. Link in bio. (📷: @giovanni_giannoni_photo) #wwdfashion #victoriassecret #VSFashionShow
“Azzedine has been one of the biggest influences in my life. He has always been such a strong, loving, fatherly figure to me. I call him Papa. His designs are indescribably unique, they are pieces of art. He knew how to make the female form look its loveliest. I have so many memories of him; my favorite might be during my first show with him in Paris. He liked me and he wanted to help me get more work. He called all his friends at Kenzo and Comme des Garcons, and asked them to book me. They said, ‘But she can’t walk!’ And he said, ‘but she has such a great ass!' His friendship and support has been the great privilege of my career. I can't imagine life without him. Repose en paix mon Papa.” - @stephanieseymour tells @wwd. #wwdfashion (📷: @steveeichner) #alaia #azzedinealaia
Azzedine Alaïa, flanked by two of his closest friends, models Stephanie Seymour and Naomi Campbell.
He designed Seymour’s dress for her 1995 wedding to Peter Brant, and treated Campbell (who famously called him Papa), like a daughter. For more on the legendary designer, tap the link in bio. #wwdfashion #alaia #azzedinealaia