Nike shares dip after forecast disappoints

NEW YORK: Nike shares fell as much as 3 per cent after the company disappointed Wall Street by not raising its full-year forecast following a sales boost from its Colin Kaepernick ad campaign. The campaign, along with Nike’s increasing efforts to woo younger customers with new sneakers and jerseys, had led to expectations that the company would lift its outlook for the year. Nike CEO Mark Parker said on Tuesday following quarterly results that the marketing blitz, which marked the 30th anniversary of its “Just Do It” slogan, was driving an uptick in customer traffic and “record” customer engagement. Nike currently expects full-year revenue growth at the lower end of a high-single digit range due to a stronger dollar. In the quarter ended August, Oregon-based Nike’s revenue rose 10 per cent, beating Wall Street estimates. Profit also exceeded expectations even as higher commodity costs hit margins. — Reuters