Nike 2nd quarter net income falls

Published on NewsOK Modified: December 20, 2012 at 7:21 pm •  Published: December 20, 2012

Net income for the three months ended Nov. 30 fell to $384 million, or $1.14 per share. That compares with $469 million, or $1.03 per share, last year when it had about 3 percent more shares outstanding. Analysts expected $1 per share according to FactSet.

Nike brand revenue rose 11 percent, while revenue from other brands, including Converse, Hurley and Nike Golf, rose 6 percent.

Revenue rose 7 percent to $5.96 billion from $5.55 billion last year, slightly short of the $6.01 billion analysts expected.

Sales in China were down 11 percent and down 2 percent in Western Europe. But they rose 17 percent in North America, by far Nike's largest market, helped by demand for basketball shoes and NFL gear. Emerging markets were also a strong point, with revenue up 11 percent.

Higher selling prices and easing raw material costs were offset by higher labor costs and fluctuations in foreign currency exchange rates.

Nike's stock rose $4.71 to $103.71 in aftermarket trading, after ending the regular session up $1.22 at $99. As of Thursday's close, the stock is up about 2.7 percent this year.