US-based sports apparel giant Nike has reported that its revenue for the third quarter (Q3) of the fiscal year 2022 (FY22) grew by 5% to $10.9bn.
The company’s revenue also increased by 8% on a currency-neutral basis compared with the same period of the prior year.
The improvement was driven by a 13% growth in Europe, the Middle East and Africa (EMEA).
Revenues for Nike’s wholly owned subsidiary Converse dropped by 1% to $567m on a reported basis, but increased by 2% on a currency-neutral basis.
The company’s wholesale revenues declined by 1% on a reported basis but were up by 1% on a currency-neutral basis.
During the three months to 28 February, Nike’s direct sales were $4.6bn, up by 15% on a reported basis and 17% on a currency-neutral basis from a year earlier.
The company’s brand digital sales also rose by 19% on a reported basis and were up by 22% on a currency-neutral basis, led by a 33% growth in North America.
Nike’s net income for the quarter was $1.4bn, a 4% decline from the same period of the prior year, while its diluted earnings per share (EPS) were $0.87.
Its gross margin for Q3 increased by 100 basis points to 46.6%.
Nike president and CEO John Donahoe said: “Nike’s strong results this quarter show that our Consumer Direct Acceleration strategy is working, as we invest to achieve our growth opportunities.
“Fuelled by deep consumer connections, compelling product innovation and an expanding digital advantage, we have the right playbook to navigate volatility and create value through our relentless drive to serve the future of sport.”
Nike has suspended its online operations in Russia amid the country’s invasion of Ukraine, but its retail stores in the country are expected to remain operational.