Nike’s Greater China Growth Sees Strong Momentum
The recent additional tariffs on Chinese imports has been a great concern for many major sportswear brands, however, NIKE, Inc. (NIKE) confirmed recently that the stressed trade relations that the US is having with China have had no impact on its business in the country. In their earnings call right after the sportswear giant declared its Q4 financial results last week CFO Andrew Campion stated “We have not seen any impact on our business to date. And we continue to see strong momentum as we enter fiscal year ’20,” Campion informed that the brand has seen a 24 percent increase in revenue in Greater China on a currency-neutral basis.
CEO Mark Parker stated Nike “a brand of China and for China.” has added $1 billion of additional growth in Greater China. Nike’s basketball sneakers and lifestyle offerings have performed well in China.
Additionally, Nike’s Nike app experienced triple-digit revenue growth in Q4, and the brand is gearing up to expand and explore its app offerings in China in the first half of fiscal year ’20, as said by Parker.
NIKE, Inc. (NIKE) is the world’s top designer, marketer, and distributor of athletic footwear, equipment, apparel, and accessories. The Beaverton, Oregon based company offers products for a wide variety of sports and fitness activities. To learn more about NIKE, Inc. (NIKE) and to continue to track its progress please visit the Vista Partners NIKE Coverage Page.
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