(C) Reuters. FILE PHOTO: People walk past a store of the sporting goods retailer Nike Inc at a shopping complex in Beijing, China March 25, 2021. REUTERS/Florence Lo
(Reuters) -Nike Inc beat analysts’ estimates for quarterly revenue on Monday, benefiting from strong demand for its athletic apparel and sneakers in North America and Europe.
The company’s shares rose 2.3% to $113.12 after the bell and Nike (NYSE:NKE) also announced a new $18 billion class B stock repurchase plan.
Affluent Americans remain largely unaffected by decades-high inflation and are splurging on higher-priced products, helping Nike maintain a pandemic-induced boom in athletic wear sales.
The company reported fourth-quarter revenue of $12.23 billion, compared with estimates of $12.06 billion, according to IBES data from Refinitiv.
Nike’s net income fell to $1.44 billion, or 90 cents per share, in the quarter ended May 31, from $1.51 billion, or 93 cents per share, a year earlier.
Nike quarterly revenue beats on athletic wear demand