Nike earnings beat estimates; shares edge higher

Nike earnings beat estimates; shares edge higher

Sportswear maker Nike reported a rise in quarterly profit, helped by strong sales of its apparel and footwear in North America and Western Europe.

The company’s net income from continuing operations rose to $698 million, or 78 cents per share, in the fourth quarter ended May 31, up from $690 million, or 76 cents per share, a year earlier.

Revenue from continuing operations rose 13 percent to $7.43 billion, excluding the impact of currency fluctuations.

Analysts had expected the company to report earnings, excluding items, of 75 cents a share on $7.34 billion in revenue, according to a consensus estimate from Thomson Reuters.

After the earnings announcement, the apparel maker’s shares rose more than 3 percent in extended-hours trading. (Click here to get the latest quotes for Nike.)

Known for grabbing endorsements from top athletes, Nike snagged sponsorship deals with 10 of the world’s most marketable soccer players prior to this year’s World Cup, according to reporting from Reuters. By comparison, Adidas signed only three and Puma signed just one.

Though Nike is the world’s biggest sportswear maker, Adidas has long dominated the market for soccer shoes, clothes and other equipment. The visibility of the players Nike is sponsoring in this World Cup could raise its own brand recognition among soccer fans outside the U.S.