Nike posts higher Q2 earnings

NIKE Inc. (NYSE: NKE) reported net income of $457-million, or diluted earnings of $0.94 per share (or 0.95 basic earnings per share), on revenues of $4.8-billion for the fiscal second quarter of 2011.

The company said that earnings per share for the quarter were up 24 percent on 10 percent higher net revenue.

Analysts polled by Thomson Reuters expected Nike to earn $0.88 per share for the quarter on average on revenues of about $4.8 billion.

In the same quarter a year ago, the company recorded earnings of $0.76 per share on revenues of $4.4 billion.

In the first quarter of this fiscal year, Nike's net income was $559 million or $1.14 per share, and revenues were $5.18 billion.

“We had a great second quarter. Almost every brand, category and geography delivered growth,” said Mark Parker, President and CEO of NIKE.

“We continue to outperform the market thanks to our innovative product, compelling brands and strong marketplace management. That’s good for athletes and consumers, good for our industry, and it’s good for our shareholders. Going forward, we’re in the enviable position of having far more opportunities than challenges. I’m confident our strategies can continue to deliver sustainable, profitable growth.”*

As of the end of the quarter futures orders for NIKE Brand athletic footwear and apparel, scheduled for delivery from December 2010 through April 2011, totaled $7.7 billion, 11 percent higher than orders reported for the same period last year with minimal impact from changes in foreign currency exchange rates compared to the prior year.

Nike shares have risen about 38 percent year to date.