Nike quarterly revenue beats estimates, shares rise

FILE PHOTO: A person wearing a protective face mask amid the outbreak of the coronavirus disease (COVID-19) walks past a Nike brand store central in Kyiv, Ukraine December 10, 2020. REUTERS/Valentyn Ogirenko

(Reuters) – Nike Inc beat estimates for quarterly revenue on Friday, helped by a jump in online demand for sports shoes and apparel as more people engaged in fitness-related activities during the COVID-19 pandemic.

Shares of the world’s largest sportswear maker were up 4.5% in trading after the bell. They have gained about 37% this year.

The global health crisis has pushed people to take up fitness-related activities such as running or biking, giving a much needed boost to Nike and other sportswear makers after they took a hit to sales earlier in the year from the pandemic.

Nike said revenue rose to $11.24 billion in the second quarter ended Nov. 30 from $10.33 billion a year earlier, while analysts on average had expected $10.56 billion, according to IBES data from Refinitiv.

The company reported a profit of $1.25 billion, or 78 cents per share, up from $1.12 billion, or 70 cents per share, a year earlier.

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