Nike gets profit boost

Nike sees a growth in its international sales

The world largest sports footwear manufacturer Nike has announced a sharp jump in profits, thanks to the company's international performance.

The company said its fourth quarter profits at the end of May rose 34% to $126m from $94m during the same period last year.

Revenues were up 4% in the same period to $2.3bn from $2.2bn in the fourth quarter last year.

For the year between May 1999 and May 2000, the company's profits were up 28% to $579m from $451 during the same period last year.

Year-on-year revenues were up 2% to $9bn from $8.8bn.

"While the strength of the dollar to the euro continued to pressure our international results, we experienced solid growth in every region outside the US," said Nike chief executive Phil Knight.

Orders up in Europe and Asia

"Within the US, the retail industry continued to struggle, however, we did see some early signs of progress."

NIke said orders for footwear and clothings for delivery between June and November came to $4.3bn, up 3% from a year ago.

US orders were down 5%, but European orders were up 11% and Asia-Pacific orders rose 21%.

The picture has not always been so rosy for Nike. Its profits were hit hard by the 1997 Asian financial crisis, which hurt demand for Nike's goods.

The company has also been criticised by fair trade campaigners for the low wages the company pays to workers making its shoes and sportswear.