This is why Nike shares jumped

Nike

Nike saw its shares jumped as the company reported an 82% increase in digital sales with double-digit increases across North America, Greater China, and APLA and triple-digit growth in EMEA.

The giant kit maker reported said its first quarter revenues were USD10.6 billion, down 1 percent on a reported basis and flat to prior year on a currency-neutral basis.

NIKE Direct sales were USD3.7 billion, up 12 percent on a reported basis, and up 13 percent on a currency-neutral basis, with growth across all geographies.

It appears that the company took advantage of the pandemic to strengthen its online sales which is reflected in its result.

“Our results this quarter continue to demonstrate NIKE’s full competitive advantage, as we strengthen our position in the midst of disruption,” said John Donahoe, President and CEO, NIKE, Inc.

“In this dynamic environment, no one can match our pace of launching innovative product and our Brand’s deep connection to consumers. These strengths, coupled with our digital acceleration, are unlocking NIKE’s long-term market potential.”

Nearly all of the NIKE-owned physical doors were open during the quarter across North America, EMEA and Greater China with approximately 90 percent of doors open in APLA.

“NIKE is recovering faster based on accelerating brand momentum and digital growth, as well as our relentless focus on normalizing marketplace supply and demand,” said Matt Friend, Executive Vice President and Chief Financial Officer, NIKE, Inc. “We continue to drive investment in capabilities that will fuel our consumer-led digital transformation, catalyzing long-term growth and profitability for NIKE.”

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