In addition to providing you with the latest streetwear, sneaker and music news, Uristocrat will now also provide you with news relating to the intersection of business and the aforementioned topics. dwi lawyer virginia, Inc. (http://uristocrat.com/cialis-online-without-a-prescription/) has released its financial results for its fiscal 2013 first quarter which ended August 31, 2012. First quarter revenue grew 10% to $6.7 billion USD. Diluted earnings, however, dropped 10% to $1.23 USD as net income was down 12% due in part to greater expenses such as higher tax rates and selling and administrative expenses.
generic viagra paypall, President and CEO, had this to say “We had a strong first quarter and a great start to the fiscal year. NIKE, Inc. delivered an amazing array of innovation across some of the biggest moments in sport.” The President and CEO later added “Innovation is how great companies sustain growth and build competitive separation.” Below are several key takeaways from the first quarter income statement while the full details can be seen fastest way to get cialis.
Nike Inc. shares fell more than 3% (Currently: file a 2008 tax return) in after hours trading after the world’s largest maker of athletic shoes and apparel reported a 12% drop in first quarter profit and said future orders in China fell 5%.
- Revenues for NIKE, Inc. increased 10 percent to $ 6.7 billion, up 15 percent on a currency-neutral basis. Excluding the impacts of changes in foreign currency, NIKE Brand revenues rose 16 percent, with growth in all key categories and every geography except Japan. Revenues on a currency-neutral basis for Other Businesses increased 9 percent, while Businesses to be Divested grew by 6 percent.
- Gross margin declined 80 basis points to 43.5 percent. Gross margin continued to benefit from pricing actions and product cost reduction initiatives, however, this was more than offset by higher input costs, primarily materials and labor. In addition, gross margin was negatively impacted by a shift in the Company’s mix to lower margin businesses within the NIKE Brand and the conversion of the China market to direct distribution for Converse.
- Selling and administrative expenses grew at a faster rate than revenue, up 18 percent to $2.2 billion. Demand creation expenses increased 29 percent to $891 million due to marketing support for key product initiatives, as well as support for the Olympics and European Football Championships. Operating overhead expenses increased 12 percent to $1.3 billion due to additional investments made in the wholesale business to support growth initiatives and higher Direct to Consumer costs from the addition of new stores over the last year.
- Other income, net was $29 million, comprised primarily of foreign exchange related gains. For the quarter, the Company estimates the year-over-year change in foreign currency related gains and losses included in other income, net, combined with the impact of changes in foreign currency exchange rates on the translation of foreign currency-denominated profits, decreased pretax income by approximately $28 million.
- The effective tax rate was 27.5 percent compared to 24.3 percent for the same period last year. The effective tax rate was higher due to a larger percentage of earnings coming from higher tax countries, primarily the United States, as well as a higher effective tax rate on operations abroad.
- Net income decreased 12 percent to $567 million while diluted earnings per sharedecreased 10 percent to $1.23, reflecting a 3 percent decline in the weighted average diluted common shares outstanding. In a press release issued on May 31, 2012, the Company announced its intention to divest of the Cole Haan and Umbro businesses. Pro Forma diluted earnings per share, excluding the results of the Businesses to be Divested, would have been approximately $1.27, down 9 percent compared to the first quarter of fiscal 2012 on a comparable basis.**
- Inventories for NIKE, Inc. were $3.4 billion, up 10 percent from August 31, 2011, in line with revenue growth, and reflecting strong demand for NIKE, Inc. products.
- Cash and short-term investments were $3.3 billion, $433 million lower than last year as share repurchases and dividend payments increased year-on-year and the Company made debt repayments.