On Tuesday, Nike reported its latest fiscal results for 2021 Q1, seeing a 13% jump in shares, along with an 82% rise in online sales. In the report, the footwear giant also shared its sales in China rose by 6% during the last period, however, sales were down by 2% in North America.
For the first quarter ended on August 31, Nike’s net income climbed to $1.52 billion from $1.37 billion a year earlier. Nike’s revenue slipped 0.6% to $10.59 billion from $10.66 billion a year earlier but topped the $9.15 billion forecast by analysts. Meanwhile, Nike’s inventories totaled $6.7 billion at the end of the latest period, up 15% from a year earlier but down 9% from the prior quarter.
This follows from a tough fourth quarter in the 2020 fiscal year that saw the company’s revenue plummet by 38%.
Nike has used the coronavirus pandemic as an opportunity to accelerate its digital business, and its women’s apparel division grew by nearly 200%. Nike went on to assure that demand will grow with the holidays coming up.
Nike also offered up a look for fiscal 2021, expecting sales to be up high single digits to low double digits from a year earlier. “We know that digital is the new normal. The consumer today is digitally grounded and simply will not revert back,” CEO John Donahoe said during the earnings conference call.
Find the full earnings release from Nike here.
