Nike shares plunge after retailer says quarterly sales will fall 10%, warns on China weakness
Publishing timestamp: 2024-06-27 20:32:06
Summary
Nike cut its full-year guidance and expects sales to drop 10% in current quarter due to soft sales in China. Despite beating earnings estimates, the company fell short on revenue. Nike attributes the revenue miss to a slowdown in lifestyle sales and other factors. Shares plunged nearly 20% as the company now expects sales to be down mid-single digits for fiscal 2025. The company is facing challenges with slower online sales, planned declines in classic footwear franchises, and macro uncertainty in Greater China. Despite these challenges, Nike is confident in its long-term growth strategy.
Sentiment: NEGATIVE
Keywords: apparel retail, breaking news: business, nike inc, china, earnings, retail industry, foot locker inc, john donahoe, business, breaking news: earnings, business news, dividends,
Source: https://www.cnbc.com/2024/06/27/nike-nke-earnings-q4-2024.html