Nike Inc (NYSE:NKE, ETR:NKE) beat expectations on the earnings and revenue front in Q3, prompting a 2.5% increase in after-hours trading.
The company reported earnings per share of $0.54, significantly higher than the anticipated $0.29.
Revenue reached $11.3 billion, exceeding forecasts of $11 billion.
Despite these positive figures, third-quarter revenues declined by 9% compared to the previous year. Nike Direct revenues fell by 12%, and wholesale revenues decreased by 7%. The gross margin contracted by 330 basis points to 41.5%.
"The progress we made against the 'Win Now' strategic priorities we committed to 90 days ago reinforces my confidence that we are on the right path,” Elliott Hill, CEO of Nike said in a statement.
The company has maintained a consistent outlook for the second half of fiscal 2025, emphasizing the importance of serving athletes with new product innovations and revitalizing brand momentum through sport.