Nike Grows Its Top and Bottom Lines in Q3 Despite a Revenue Miss
Nike (NYSE: NKE) reported its third-quarter fiscal 2021 results after market close yesterday, falling short of Wall Street consensus revenue estimates but beating on earnings and growing both lines year over year. According to Zacks Equity Research, the footwear and apparel company missed estimates by about 5.4% with its $10.36 billion in revenue, but delivered a 20% positive surprise with its $0.90 earnings per share (EPS).
In terms of growth, Nike's top line for the quarter ending on Feb. 28, 2021, rose 3% year over year, with 51% Chinese revenue increase being a primary driver. EPS grew 15.4% compared to Q3 of fiscal 2020. The company notes that while digital sales increased 59%, North America remained an area of relative weakness during the quarter, with a 10% revenue drop due not to insufficient sales, but to supply chain problems preventing enough merchandise from arriving out of Nike's factories in China.
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Source Fool.com
