Home / Knowledge / News / Apparel/Garments / Worldwide futures orders up 16% - NIKE
Worldwide futures orders up 16% - NIKE
23
Sep '11
NIKE Inc. reported financial results for its fiscal 2012 first quarter ended August 31, 2011. Diluted earnings per share and revenue represented new records as a strong demand for NIKE, Inc. brands, SG&A expense leverage, tax efficiencies and a lower average share count offset the impact of a lower gross margin.

"We're off to a strong start in fiscal year 2012. We have a powerful and diverse portfolio of brands and businesses, and we're focused on leveraging them to drive growth and create value for our shareholders," said Mark Parker, President and CEO, NIKE, Inc. "It pays to be prudent in times like these. It's also essential that we remain on the offense, creating opportunities. We do that by connecting with consumers, designing innovative products and delivering amazing experiences. That's how we continue to lead this company and the industry into the future."*

First Quarter Income Statement Review
• Revenues for NIKE, Inc. increased 18 percent to $6.1 billion, up 11 percent on a currency-neutral basis. Excluding the impacts of changes in foreign currency, NIKE Brand revenues rose 12 percent with growth in every geography except Western Europe, which was flat due to the negative impact from changes in the timing of shipments and comparisons to last year's strong World Cup related sales. By category, revenues were up on a currency neutral basis in all key categories except Football (Soccer), which had a challenging prior year comparison given the World Cup last year. Revenues for our Other Businesses increased 10 percent including 2 percentage points of benefit from changes in currency exchange rates, as growth in Converse, Cole Haan and NIKE Golf offset lower revenues at Hurley and Umbro.

• Gross margin declined 270 basis points to 44.3 percent mainly due to higher product costs and a higher mix of off-price revenues sold at a lower margin than the prior year. These factors more than offset the positive impact of growing sales in our Direct to Consumer operations, select pricing actions and the benefits of ongoing product cost reduction initiatives.

• Selling and administrative expenses grew at a slower rate than revenue, up 9 percent to $1.8 billion. Demand creation expenses increased 2 percent to $692 million driven by marketing support for key product initiatives and investments in retail product presentation for wholesale accounts. Operating overhead expenses increased 14 percent to $1.1 billion due to additional investments made in our wholesale and Direct to Consumer businesses.

• Other expense, net was $18 million, comprised largely of foreign exchange losses, primarily from currency hedges. For the quarter, we estimate the year-over-year change in foreign currency related losses included in other expense, net combined with the impact of changes in foreign currency exchange rates on the translation of foreign currency-denominated profits increased pretax income by approximately $32 million.

• The effective tax rate was 24.3 percent compared to 26.0 percent for the same period last year, an improvement due primarily to a reduction in the effective tax rate on operations outside the United States.


Must ReadView All

Coats acquires yarn manufacturer Patrick Yarn Mill

Textiles | On 12th Dec 2017

Coats acquires yarn manufacturer Patrick Yarn Mill

Coats, the world’s leading industrial thread manufacturer, has...

India’s garment imports from Bangladesh up 56% post-GST

Apparel/Garments | On 12th Dec 2017

India’s garment imports from Bangladesh up 56% post-GST

India has imported $87.4 million worth of readymade garments from...

Courtesy: Badger Sportswear

Apparel/Garments | On 12th Dec 2017

Badger Sportswear acquires Alleson Athletic

Badger Sportswear, a leading manufacturer of athletic apparel and...

Interviews View All

Pratik Bachkaniwala
Palod Himson Machines

Fabric processing machines are picking up

Cindy McNaull
Cordura

We have broad range of options in durable fabrics

Arvind Saraf
Triveni Sarees

e-Commerce is still evolving fast with constant flux and surprises

Liz Manning

<div><b>Liz Manning</b>, Business Development Manager at Catexel, has...

Sugandha Bhardwaj

<div>New Delhi-based Brinjal Designs Pvt Ltd manufactures home furnishing...

Erik Sy

Manila-based CustomThread is a start-up offering premium custom apparel...

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Urs Stalder
Sanitized AG

Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Akta Adani
India Boulevard

India Boulevard is a San Francisco-based curated fashion marketplace that...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

December 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
69.6%
No
12.0%
Skip
18.5%

Total Votes: 92

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
62.0%
No
30.4%
Skip
7.6%

Total Votes: 92

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.0%
No
9.8%
Skip
3.3%

Total Votes: 92

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
81.5%
No
8.7%
Skip
9.8%

Total Votes: 92


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search