Here’s a quick summary of Q2 2023 Nike (NKE) earnings. Top 10 insights summarized for you by AI.
- Nike reported $13.3 billion in revenues for the second quarter of fiscal 2023, representing a 17% increase compared to the prior year.
- Nike Direct sales were $5.4 billion, a 16% increase on a reported basis.
- Nike Brand Digital sales increased 25% on a reported basis.
- Wholesale revenues grew 19% on a reported basis.
- Gross margin decreased 300 basis points to 42.9%, primarily due to higher markdowns to liquidate inventory, unfavorable changes in foreign currency exchange rates, elevated freight and logistics costs, and increased product input costs.
- Selling and administrative expenses increased 10% to $4.1 billion.
- Net income was $1.3 billion, remaining flat compared to the prior year.
- Revenues for the Nike Brand were $12.7 billion, a 18% increase on a reported basis.
- Revenues for Converse were $586 million, a 5% increase on a reported basis.
- Inventories for Nike were $9.3 billion, a 43% increase compared to the prior year period, due to an increase in units and higher input costs. Cash and short-term investments were $10.6 billion, down approximately $4.5 billion from the prior year. Nike returned approximately $2.1 billion to shareholders, including dividends and share repurchases.