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Nike's Market Struggles: Earnings Beat Fails to Impress, Shares Slide

Nike plans to scale back on classic shoe franchises and reduce supply of underperforming products in a $2 billion savings plan, as it faces competition from newer brands like On and Hoka. The company's revenue forecast for fiscal 2025 is a low single-digit percentage decrease, and it aims to focus on developing new products and upcoming launches to drive growth. Despite beating Wall Street estimates for third-quarter revenue and profit, Nike's stock fell 5.6% in extended trading as it grapples with losing market share in the running category and aims to draw back customers with new sneaker launches.

1 year ago•Source: New York Post

Kering's Gucci Profit Warning Erases $7.6 Billion in Market Value

business-fashion

2.98 min•1 year ago

Kering's Gucci Profit Warning Erases $7.6 Billion in Market Value

Kering SA, the parent company of Gucci, saw its shares plummet after warning of a 20% sales decline at Gucci in the first quarter, resulting in a €7 billion market value loss. The sales slump, particularly in the Asia-Pacific region, widens the gap between Kering and its luxury rivals like LVMH and Hermes. The company has been struggling to revitalize Gucci, with the new designer's collection receiving mixed reviews. The unexpected announcement has raised concerns about the state of consumer spending and China's economy, impacting other fashion companies' stocks as well.

via Yahoo Finance