Calling the results “remarkable,” Nike Inc. says its fiscal second-quarter revenues climbed 18% to $5.7 billion, from $4.8 billion in the same period last year. Net income rose 3% to $469 million, compared with $457 million in the year-ago period. Sales in North America were particularly strong, up 21%, with double-digit gains in stores and online on Thanksgiving weekend.
The results beat investor expectations, and Nike executives say the strong performance is a result of steady gains in both its basketball and running divisions, as well as its continued digital transformation. “We’re using digital to change everything about the product creation process,” Mark Parker, president/CEO, says in a conference call that was also webcast. Not only has that sped up its manufacturing, beginning with design and moving into factories, it’s also been a game-changer in its marketing approach.
“Social media is helping us unite and expand,” he says. “We have never been closer to our consumers, as they connect more with each other, their heroes and their favorite teams.”
Great to see digital at the center of product creation.
For all the talk of Social Media being hard to measure Nike is able to come up with some very clear figures. If you're having difficulty measuring the middle but see the end result, do the results still count?
Have a great Christmas everyone!