(Reuters) -Nike Inc beat estimates for quarterly revenue on Monday, lifted by strong demand for its sports shoes and apparel in North America even as shipping hurdles and factory closures pinched supplies.
The company’s shares rose nearly 4% in extended trading.
Nike’s sales in North America, its largest market, jumped 12% in the company’s second quarter, as a reopening U.S. economy and the roll out of vaccines gave people confidence to rush back to stores and splurge on sneakers for running and hiking.
The strong sales come despite a warning from the sportswear maker in September that some products would be in short supply heading into the holiday season due to months-long factory closures in Vietnam, where about half of all Nike footwear is manufactured.
The company said revenue rose 1% to $11.36 billion in the quarter ended Nov. 30, while analysts on average had expected $11.25 billion, according to IBES data from Refinitiv.
Nike’s net income rose 7% to $1.34 billion, or 83 cents per share.
(Reporting by Uday Sampath in Bengaluru; Editing by Maju Samuel)
