On Wall Street, disposals of the Nike stock: the stock slipped by 6.50%, after the publication of the financial results by the sports goods giant and the downgrade of the outlook for fiscal year 2022.
The multinational cited problems in the supply chain, which are affecting the whole world, triggering a rise in prices everywhere and fears of a flare-up of inflation that is more persistent than expected and hoped for.
In particular, Nike spoke of a congestion in its supply chain, which is impacting its balance sheet more strongly than previously expected. To be precise, the interruptions of production in Vietnam, the lack of manpower, the longer transit of goods were cited.
As a result, the giant was forced to cut its fiscal 2022 outlook on sales, which are now expected to grow by around + 5-6%, up from 10-11% previously expected. For the second fiscal quarter, the outlook is flat sales or a rise of less than 5%; analysts had forecast revenue growth of + 12% for fiscal year 2022, and 12% also for fiscal second quarter.
Regarding its fiscal first quarter results, Nike said it reported earnings per share of $ 1.16, better than the expected $ 1.11, and revenue of $ 12.25 billion, worse than the expected $ 12.46 billion, due to the slowdown in demand in the North American market.