NIKE POSTS LARGE LOSS OF EARNINGS IN FIRST QUARTER

Oregon-based athletic company Nike has reported fiscal 2018 financial results for its first quarter ended August 31, 2017.

Net income decreased 24 percent to $950 million, and diluted earnings per share for the quarter were $0.57, down 22 percent driven by a gross margin decline, a higher effective tax rate and higher other expense, net, partially offset by lower selling and administrative expense and a lower average share count.

Overall revenues were $9.1 billion, flat to prior year on both a reported and currency-neutral basis; revenues for the Nike brand were $8.6 billion (up 2 percent), whole revenue for Converse were $483 million (down 16 percent).

While the company did not change its guidance, Mark Parker, chairman, president and CEO, NIKE, Inc., was nonetheless optimistic about the company’s future. “Looking ahead to the rest of fiscal 2018, we will ignite Nike’s next horizon of global growth through the strength of our brand, the power of our innovative products and the most personal, digitally-connected experiences in our industry.”