Nike Earnings Run Past Forecasts; Shares Jump
Nike reported earnings and revenue that beat Wall Street forecasts on Thursday, helped by easing materials costs and strong North American sales. The stock shot higher in after-hours trading.
The athletic footwear and apparel maker posted fiscal fourth-quarter earnings of 76 cents per share up from 59 cents per share a year earlier.
Nike said its gross margin increased to 43.9 percent, helped by "pricing actions" and easing materials costs.
Revenue rose 7.4 percent to $6.7 billion from $6.47 billion a year earlier.
Analysts were expecting Nike to post earnings of 74 cents per share for the fiscal fourth quarter on revenue of $6.64 billion, according to estimates from Thomson Reuters.
Future orders, a key growth metric, totaled $12.1 billion, 8 percent higher than orders reported for the same period last year. Future orders for China were up only 3 percent and were flat excluding currency changes.
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