A Strong Driving Force To Boost Nike's Profits

Nike, the sportswear manufacturer of the United States, reported on the 25 day that its earnings grew 12% in the fourth quarter of 2008, due to strong international sales.

In the quarter ended May 31st, Nike made a profit of 490 million 500 thousand US dollars, or 98 cents per share, compared to 438 million US dollars in the same period last year, or 86 cents per share.

Wall Street analysts expected earnings of 96 cents per share.

Although the performance exceeded expectations, investors worried about Nike's growth prospects in the US market. On the 25 day, Nike shares in New York stock market fell in after hours trading.

In the quarter, Nike's sales volume reached 5 billion 100 million US dollars, up 16% from 4 billion 400 million US dollars in the same period last year, and the sales increase caused by exchange rate factor was 7%.

In the core US market, Nike sales increased by only 4%, sales growth in the Asia Pacific market in the second largest market was 9%, sales in the European market increased by 19%, and the Latin American market grew by 30%.

In the 2008 fiscal year, Nike made a total profit of $1 billion 900 million, an increase of 26% over the previous year's $1 billion 500 million.