On Dec. 20 after the market closed, Nike
- Sales grew 10% to $3.8 billion, driven by new product introductions and strength in Asia.
- Total diluted earnings grew 12.3%, with $0.13 from a retroactive Dutch tax benefit. Management also repurchased $126 million of common stock, reducing shares outstanding.
- Inventory growth outpaced sales expansion, growing 14.5%.
- In Motley Fool CAPS, 204 of 231 community members believe that Nike will outperform the S&P 500. Share your thoughts by participating in CAPS.
(Figures in millions, except per-share data)
Income Statement Highlights
Q2 2007 |
Q2 2006 |
Change |
|
---|---|---|---|
Sales |
$3,822 |
$3,475 |
10.0% |
Net Profit |
$326 |
$301 |
8.1% |
EPS |
$1.28 |
$1.14 |
12.3% |
Diluted Shares |
254 |
264 |
(3.8%) |
Get back to basics with a look at the income statement.
Margin Checkup
Q2 2007 | Q2 2006 | Change* | |
---|---|---|---|
Gross Margin | 43.36% | 43.50% | (0.14) |
Operating Margin | 11.70% | 13.35% | (1.65) |
Net Margin | 8.52% | 8.67% | (0.15) |
Margins are the earnings engine. See how they work.
Balance Sheet Highlights
Assets | Q2 2007 | Q2 2006 | Change |
---|---|---|---|
Cash + ST Invest. | $1,907 | $2,055 | (7.2%) |
Accounts Rec. | $2,388 | $2,166 | 10.2% |
Inventory | $2,167 | $1,893 | 14.5% |
Liabilities | Q2 2007 | Q2 2006 | Change |
---|---|---|---|
Accounts Payable | $880 | $744 | 18.3% |
Long-Term Debt | $384 | $408 | (6.1%) |
Learn the ways of the balance sheet.
Cash Flow Highlights
Fools will have to wait until Nike files its quarterly 10-Q for juicy cash flow details.
Find out why Fools always follow the money.
Comparable Companies:
- K-Swiss
(NASDAQ:KSWS) - Steve Madden
(NASDAQ:SHOO) - Skechers
(NYSE:SKX)
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Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so checkFool.com for more of our in-depth discussion of what the numbers mean.
Fool contributor Ryan Fuhrmann is long shares of Nike but has no financial interest in any other company mentioned. The Fool has an ironclad disclosure policy. Feel free to email him with feedback or to discuss any companies mentioned further.