Nike revenues remain flat in Q2
Nike has today announced its financial results for the Q2 of fiscal year 2022, reporting revenues were $11.4 billion, up 1% compared to the prior year and flat on a currency-neutral basis.
The financial period, ending 30 November 2021, saw Nike's direct sales reach $4.7 billion, up 9% on a reported basis and up 8% on a currency-neutral basis.
The brand's digital sales increased 12%, (11% on a currency-neutral basis), led by a 40% growth in North America. Gross margin increased 280 basis points to 45.9%.
Second Quarter revenues were flat on a currency-neutral basis as the group continues to manage the ongoing impact of supply chain challenges across the marketplace. Revenues in Greater China and APLA declined, largely due to lower levels of available inventory resulting from COVID-19 related factory closures. While closures had an impact across the portfolio, North America and EMEA delivered growth due to higher levels of in-transit inventory entering the second quarter.
John Donahoe, President and CEO of Nike, said: "Nike's strong results this quarter provide further proof that our strategy is working, as we execute through a dynamic environment. We are now in a much stronger competitive position today than we were 18 months ago."
Matt Friend, Nike's Executive Vice President and Chief Financial Officer, added: "Our second quarter results reflect our deep consumer connections, the continued strength of our brands and strong marketplace demand. As we navigate through short-term supply challenges, we are focused on executing our Consumer Direct Acceleration strategy to fuel our long-term financial outlook."
