Flame animation

Hottest new
meme coin

Flame animation
Coin spinning animation

100x potential

Shiba Memu Roll-out Logo BUY NOW

Nike’s sales come in lower than expected in the fiscal third quarter

on Mar 18, 2021
  • Nike’s sales come in lower than expected in the fiscal third quarter.
  • The American multinational earns 64.62 pence per share in Q3.
  • Nike's direct-to-consumer business grew 20% in the third quarter.

Follow Invezz on Telegram, Twitter, and Google News for instant updates >

Nike Inc. (NYSE: NKE) said on Thursday that its sales in the fiscal third quarter fell shy of what analysts had anticipated due to the COVID-19 restrictions. The company, however, posted better than expected per-share earnings in Q3.

Nike shares closed the regular session more than 0.5% down on Thursday. In after-hours trading, the stock lost another 2.5%. Including the price action, Nike is now exchanging hands at £100.16 per share after recovering from a low of £45.09 per share in the last week of March 2020, when the COVID-19 crisis wreaked havoc on its stores.

Nike had started the year at a per-share price of £100.59 after recording close to a 40% growth in the stock market last year. At the time of writing, it has a market cap of £130.71 billion and a price to earnings ratio of 81.61.

Nike’s Q3 financial results versus analysts’ estimates

Copy link to section

According to Refinitiv, experts had forecast the company to print £7.91 billion of sales in the third quarter. Their estimate for per-share earnings stood at 54.57 pence. In its report on Thursday, Nike topped earnings expectations posting a higher 64.62 pence per share. Its sales in Q3, however, came in at a lower £7.44 billion.

In separate news from the U.S., telemedicine company Hims & Hers Health also published its quarterly earnings report on Thursday.

Nike said that its net income in the recent quarter registered at £1.04 billion versus the year-ago figure of £608.15 million. The American multinational’s sales in the comparable quarter of last year were capped at £7.25 billion. Nike’s revenue returned to the growth zone in the prior quarter (Q2).

Are you looking for fast-news, hot-tips and market analysis? Sign-up for the Invezz newsletter, today.

Other prominent figures in Nike’s earnings report

Copy link to section

Other prominent figures in Nike’s earnings report on Thursday include a 10% annualised decline in revenue in North America, which was offset by a 51% year over year increase in sales in China. In the Middle East, Europe, and Africa, the Beaverton-headquartered company saw a 60% increase in its online sales.

Digital sales for the Nike brand in Q3 registered a 59% annualised increase. The U.S. firm’s direct-to-consumer business, on the other hand, grew 20% in the third quarter. CFO Matt Friend commented on the financial update on Thursday and said:

“We continue to see the value of a more direct, digitally-enabled strategy, fuelling even greater potential for Nike over the long term.”


Copy expert traders easily with eToro. Invest in stocks like Tesla & Apple. Instantly trade ETFs like FTSE 100 & S&P 500. Sign-up in minutes.


77% of retail CFD accounts lose money.