(20 December 2019)DAILY MARKET BRIEF 2:Nike Posts Higher Sales in U.S., China

Nike Inc. posted a 10% jump in sales in the latest quarter, even after the sportswear giant decided to stop selling through Amazon.com Inc. and faced criticism for its support of disgraced running coach Alberto Salazar. Revenue in the North American market, which accounts for the majority of Nike's sales, rose 5% from a year ago. The gains were driven by footwear, as apparel sales were flat. The fastest-growing region was Greater China, where revenue jumped 20% from a year ago. Executives said apparel sales were flat in North America because of the boost that business got a year earlier, when basketball star and Nike endorser LeBron James joined the Los Angeles Lakers, lifting sales of his jerseys. Nike has the exclusive rights to make National Basketball Association jerseys. Nike's shares, which have climbed 36% this year, were down 2% at $99.25 in after-hours trading. In November, Nike said it would stop selling its clothes and sneakers directly on Amazon to focus on its own apps and stores. For the fiscal second quarter ended Nov. 30, Nike reported a profit of $1.12 billion, or 70 cents a share, up from $847 million, or 52 cents a share, a year ago. Overall sales were $10.3 billion for the quarter and exceeded analysts' estimates of $10.1 billion.

By Vincent Mivelaz