Nike posts second quarter revenue growth

United States
Published:  22 December, 2020
Credit: Nike

The U.S. footwear and apparel brand has published fiscal 2021 financial results for its second quarter ending November 30, 2020, with reported revenues of US$11.2 billion, up 9% compared to the prior year and 7% on a currency-neutral basis. 

According to the brand, the rise was driven by growth across all geographies, led by Greater China reported revenue growth of 24%. Nike Direct Sales were US$4.3 billion, up 32% on a reported basis, and up 30% on a currency-neutral basis, with double-digit growth across all geographies. Nike Digital Sales increased 84%, or 80% on a currency-neutral basis, with triple-digit growth in North America and strong double-digit increases in EMEA, Greater China and APLA.

“Nike’s strong results during a dynamic environment show the power of staying on the offense,” said John Donahoe, President and CEO, Nike. “Fuelled by compelling innovative product and global brand momentum, we continue to extend our leadership. Our strategy is working, and we are excited for what’s ahead. During the quarter, we experienced temporary door closures in geographies affected by rising Covid-19 cases; however, more than 90% of our owned stores are open today, with some operating on reduced hours. We continue to experience year-on-year declines in physical retail traffic in North America, EMEA and APLA due to Covid-19 impacts and safety-related measures, partially offset by higher conversion rates.”

Matt Friend, Executive Vice President and Chief Financial Officer, Nike, added: “With healthy inventory positions across all geographies, our return to growth is a testament to our digital strength, as well as our disciplined marketplace and financial management. As we look ahead, we are focused on moving even faster against our strategic vision of Consumer Direct Acceleration and fuelling sustainable, long-term growth and profitability.”