Nike Earnings Surge Again
By : MEGHAN CASS
NEW YORK (June 26, 2008) – Nike, Inc. reported on Wednesday an increase in income and revenues for the fourth quarter and fiscal year 2008.Full-year income rose 26 percent to $1.9 million, up from $1.5 million in 2007. Earnings per diluted share spiked to $3.74, a 28 percent increase over last year’s $2.93. And revenues for the year increased to $18.6 billion, up 14 percent from last year’s $16.3 billion.
Fourth-quarter profits were $490.5 million, compared with $437.9 million in the year-ago period. Sales for the period were up 16 percent, reaching $5.12 billion. The company noted that a change in currency exchange rates accounted for a revenue increase of 5 percentage points for the full year, and 7 points for the fourth quarter.
“Nike turned in another strong performance in fiscal year 2008,” Nike President and CEO Mark Parker said in a statement. “The power and strength of the Nike brand, as well as the depth and diversity of the Nike portfolio produced solid sales growth across all geographies and key product platforms. By continuing to deliver compelling consumer experiences, backed by strong operational execution, we’re confident we can deliver long-term profitable growth and create value for our shareholders.”
Parker remained confident about the future. “Going forward, we are going to play to those strengths and continue to invest in product innovation, deep brand connections, improved retail presentation and operational effectiveness. Our focus is on working stronger, leaner and smarter through uncertain macroeconomic conditions to maximize our unique potential as a leader and innovator,” Parker continued. “As we complete fiscal 2008, we are better positioned than we ever have been.”
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