Shares of footwear company, NIKE, Inc. (NKE) are spiking hgher after the company beats analysts exceptions.
The Beaverton, OR based company reported third quarter earnings of $866 million, up 55% from $560 million last year. Excluding income from discontinuing operations, the company reported earnings of $662 million, or 73 cents per share, up from $560 million, or 61 cents per share last year. On average, analysts expected to see EPS of 67 cents.
Revenue for the quarter was $6.19 billion, up 9% from $5.66 billion last year. Analysts expected see $6.23 billion in revenue.
Footwear sales increased by 9% to $3.7 billion during the quarter, while apparel sales increased 7% to $1.6 billion. Equipment sales rose by 22% to $325 million.
Sales in North America rose during the quarter, although many global markets saw declines. The company’s overall earnings increase was primarily due to higher sales, an improved gross margin, a lower tax rate, and the sale of the Cole Haan brand.
The company saw an upside in China during the quarter. Sales increased by 4% in the region where Nike has been having difficultly dealing with competition and excess inventory.
Nike shares were up $4.35, or 8.12% during premarket trading Friday. The stock has declined -3% in the past year.
The Bottom Line
Shares of NIKE, Inc. (NKE) have a 1.57% yield, based on Thursday’s closing price pf $53.60.
NIKE, Inc. (NKE) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.