Nike reported a loss in its third quarter due to a US$2 billion ($2.7b) tax expense related to recent changes in the U.S. tax law. But its results beat expectations and its shares jumped in after-hours trading.
The company also said Thursday that it saw higher demand for its swoosh-branded sneakers and apparel in China. Demand was also strong in other parts of Asia, as well as Europe, Africa and the Middle East.
Altogether, revenue rose nearly 7 per cent to US$8.98b, topping Wall Street expectations of US$8.83b, according to Zacks Investment Research .
Nike reported a third-quarter loss of US$921 million, or 57 cents per share. Most of that loss was due to the tax expense, the Beaverton, Oregon-based company said.
Earnings, adjusted for pretax expenses, were 68 cents per share. That beat the 52 cents per share Wall Street analysts expected, according to Zacks.
