Nike Quarterly Profit Jumps 51%, Beating Estimates

Nike said first-quarter earnings per share jumped 51% to $1.12, versus 74 cents in the year-ago quarter, beating Wall Street estimates.

Analysts surveyed had predicted that the sports apparel maker would have a quarterly profit of 87 cents per share, on revenue of $4.58 billion.

The first quarter effective tax rate reflects a one-time benefit related to utilization of past foreign losses, contributing $0.20 per diluted share.

The Beaverton, Ore.-based firm said revenue for the three months ended Aug. 31, 2007 had grown 11 percent to to $4.7 billion.

Changes in currency exchange rates increased revenue growth by 3 percentage points for the quarter, Nike said.

The company in March had forecast sales of $4.48 billion to $4.57 billion.

Nike's quarterly results have been strongly anticipated, in part due to its detachment from Atlanta Falcons quarterback Michael Vick, a former endorser of a key Nike athletic-shoe line, after Vick pleaded guilty to criminal charges related to dogfighting.

“We’re off to a strong start," said Mark Parker, president and chief executive of Nike, in a statement on the company's Web site.

"And, as our first quarter results reflect the power of our brands as well as the strength and diversification of the Nike, Inc. portfolio. We have an aggressive growth plan to achieve $23 billion in revenue by fiscal year 2011, and we're well on our way."

© 2009 CNBC.com