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Nike shares spike 8% after blockbuster sales – CNN

New York (CNN Business)Nike beat analysts’ revenue expectations for its first fiscal quarter by more than $1 billion Tuesday, signaling the sportswear giant is making a healthy comeback from the pandemic.

The company reported diluted earnings per share of $0.95 for the three months ended August 31. Revenue was $10.6 billion, down 1% year-over-year. Wall Street analysts had projected earnings per share of $0.47 on revenue of $9.14 billion, according to Refinitiv estimates.
Nike (NKE)‘s stock jumped more than 8% in after-hours trading Tuesday following the report.
Many footwear and apparel companies, including Nike, were hit by store closures and a decline in in-store shopping earlier in the year. In the quarter ended May 31, Nike posted a net loss and 38% decline in revenue.
In the latest quarter, however, Nike said that nearly all of its stores were open, though foot traffic is still lower than usual.
Nike’s investments in digital sales significantly boosted sales in the latest quarter.
In recent years, the company has shifted its focus from selling through third-party retailers to leaning on its own direct-to-consumer sales channels and e-commerce business, which positioned it to benefit as more consumers have turned to buying online.
The company said its Nike Brand digital sales grew 82% during the quarter, including triple-digit growth in the Europe, Middle East and Africa market.
Overall, revenue has returned to growth in the Europe, Middle East and Africa and Greater China markets. Sales in Asia Pacific and Latin America dropped 18%, and North American sales fell just 2% from the same period in the prior year, a significant improvement from the 46% year-over-year decline in the market in the previous quarter.
“Nike is recovering faster based on accelerating brand momentum and digital growth, as well as our relentless focus on normalizing marketplace supply and demand,” Nike CFO Matt Friend said in a release.
Nike’s digital platforms and sales experienced strong growth in the quarter, even as its physical stores reopened.
Friend said on a call with analysts Tuesday that demand on the Nike app jumped 150% during the quarter. And CEO John Donahoe said there was triple-digit growth in mobile active users on the company’s e-commerce apps, as well as strong demand for Nike’s Run app, which provides digital workouts.
Donahoe added that consumers are also increasingly identifying themselves as Nike app members when they check out at brick-and-mortar retail stores, which means the company can link that purchase to the consumer’s other shopping data.
That engagement is key, he said, because “we know a consumer who connects with us on two or more platforms has a lifetime value that’s four times higher than those who don’t … and we’ll use data to help us stay a step ahead.”
Nike is also likely to benefit from the return of live sports, which are a key marketing opportunity for the footwear giant.
While the company acknowledged the continued uncertainty from the ongoing pandemic, Friend said on the call that Nike now projects full-year fiscal 2021 revenue to be up in the high single digits to low double digits compared to the prior year.

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sales Spike

As US Gun Sales Spike, Remington Files For Bankruptcy – NPR

Bolt action rifles sit on display at the Remington Arms Co. booth at the National Rifle Association annual meeting in 2015 in Nashville, Tenn.

Daniel Acker/Bloomberg via Getty Images


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Daniel Acker/Bloomberg via Getty Images

Bolt action rifles sit on display at the Remington Arms Co. booth at the National Rifle Association annual meeting in 2015 in Nashville, Tenn.

Daniel Acker/Bloomberg via Getty Images

The Remington Arms Co. has filed for bankruptcy protection in federal court in Alabama as it seeks to restructure for the second time since 2018 amid ongoing legal and financial challenges.

The 204-year-old U.S. gun-maker, among the best-known brands of firearms, filed for Chapter 11 protection Monday at a time when heightened anxieties linked to the coronavirus pandemic, a slowing economy and ongoing national protests following George Floyd’s killing have led to record-high U.S. gun sales.

In fact, the FBI reported in June it conducted 3.9 million firearm background checks, a proxy for gun sales. That eclipsed the previous record in March of 3.7 million criminal checks to see if a gun could be legally possessed or purchased.

Amid Protests And Virus Fears, Firearm Background Checks Hit All-Time High

However, Remington’s challenges began long before the recent uptick in gun sales, and its bankruptcy filing appears to have come as talks with a potential buyer fizzled out in recent weeks.

The Wall Street Journal reported the gun-maker had been in “advanced talks” to sell to the Navajo Nation, but the talks collapsed.

According to court filings, Remington estimates it has between 1,000 and 5,000 creditors, and lists both its assets and liabilities as between $100 million and $500 million.

Remington’s previous bankruptcy filing came two years ago during a period of slumping gun sales. As NPR reported in 2018, firearms industry-watchers were observing a downturn they dubbed a “Trump slump” — a phenomenon in which sales fall dramatically during administrations perceived to be pro-gun.

Remington Declares Chapter 11 Amid 'Trump Slump' In Gun Sales

It was also a time when gun safety advocates ratcheted up pressure on retailers and investors to distance themselves from the industry following the 2018 Valentine’s Day shooting at a Parkland, Florida, high school in which 17 students and staff were killed.

A Supreme Court ruling in 2019 allowed families of those killed in the Sandy Hook Elementary School shooting in Newtown, Conn., to move forward with lawsuits against Remington. The families claim the company was liable in victims’ deaths as the manufacturer and marketer of the Bushmaster assault-style rifle used in the 2012 massacre that killed six adults and 20 children.

During its 2018 bankruptcy filing, Remington was allowed to shed $775 million in debt, The New York Times reported. As part of its restructuring, the business transferred ownership to former creditors, including Franklin Templeton Investments and J.P. Morgan Asset Management, according to the newspaper.

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apologizes Spike

Spike Lee apologizes after appearing to defend Woody Allen – CNN

(CNN)Spike Lee used Woody Allen to make a point about “cancel culture” and has now apologized following backlash over his remarks.

During an interview that aired Friday on New York City’s 710 WOR’s “In the Morning” program, Lee used the example of Allen while talking about the “cancel culture.”
“I’d just like to say Woody Allen is a great, great filmmaker and this cancel thing is not just Woody,” said Lee, who was on the show to promote his new Netflix film “Da 5 Bloods.” “And I think when we look back on it we are going to see that — short of killing somebody — I don’t know that you can just erase somebody like they never existed.”
Lee referred to Allen as “a friend of mine” and “a fellow Knick fan” adding, “So I know he’s going through it right now.”
Allen has been deemed “canceled” because his estranged daughter, Dylan Farrow, 34, has long alleged that he sexually assaulted her in 1992 when she was 7 years old.
Allen has consistently denied the allegation and was not charged. Investigators concluded at the time that Dylan Farrow had not been abused, according to The New York Times, which covered the custody proceedings after Allen filed for custody of his three children with Mia Farrow in 1992.
Lee’s comments were not received well, and the filmmaker took to Twitter to write, “I Deeply Apologize. My Words Were WRONG.”
“I Do Not And Will Not Tolerate Sexual Harassment, Assault Or Violence,” the tweet read. “Such Treatment Causes Real Damage That Can’t Be Minimized.-Truly, Spike Lee.”
Hachette canceled its plans to publish the book in the wake of backlash, but it was published by Arcade Publishing.

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Spike Lee releases short film as part of George Floyd protests – The Guardian

Spike Lee has released a short film as protests against the death of George Floyd continue, which equates Floyds treatment at the hands of police with Eric Garners and Radio Raheem, the character in …
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