Nike's profit increase, but investors are not impressed

Nike has eliminated double-digit earnings growth during its first fiscal quarter, the rise being due to factors that do not include the controversial advertising campaign of the former retailer, Colin Kaepernick.

The announcement was released shortly after the end of the quarter, so any increase in performance is likely due to the FIFA Football World Cup, which featured players and teams in clothing and clothing. Nike shoes.

Nike recorded revenue of $ 9.95 billion on adjusted earnings per share of 67 cents, against expectations of $ 9.94 billion of earnings on 63 cents per share. Even so, stocks fell nearly 3% after trading hours after the earnings release, trading around $ 82.50. They rose 0.6 percent to close the regular trading Tuesday at $ 84.79.

The title of Nike had a particularly intense year, up 36%.

Nike controversy aroused earlier this month on his announcement featuring former NFL quarterback Kaepernick, who in 2016 began to kneel during the national anthem to protest against the racial injustice. But after a first blow to his actions, the campaign only seems to strengthen the brand with its core population. and investors, who have bid higher since then.

Although the commercial impact of Nike's controversial operation with Kaepernick is known for months, it seems that while drawing the attention of the Conservatives, the latest addition to Nike's "Just Do It" campaign has allowed the base company that skids younger.

This is not the first time Nike has tackled cultural issues. The company launched an "Equality" campaign starring Serena Williams and LeBron James following President Donald Trump's entry to the White House.

"I do not think it was a big bet – historically, Nike has always done that, so it was not a shock," said Antonio S. Williams, who teaches sports marketing at the University. d & # 39; Indiana. "They are the king of emotional marketing, so whatever they do, they do it with emotion."

Nike has potentially endangered its status as one of the top two suppliers of NFL teams and fans, given that Kaepernick is suing the league, alleging collusion on its part to prevent it from signing with a team.