Revenues for NIKE, Inc. increased 3 percent to $10.4 billion compared to the prior year, down 1 percent on a currency-neutral basis. ◦ Revenues for the NIKE Brand were $9.8 billion, a decrease of 2 percent to prior year on a currency-neutral basis, primarily due to declines in our wholesale business caused by timing of shipments due to global container shortages and port congestion delays in the U.S. and mandatory store closures in Europe, which were partially offset by double-digit growth in NIKE Brand Digital and the Jordan Brand. ◦ Revenues for Converse were $570 million, up 8 percent on a currency-neutral basis, led by strong digital performance in North America and Europe.
Nike business affected by shortage of containers and port congestion delay. The shipment will soon be recovered and so for Magni.
Price drop could be due to reports that Nike commented on situation in Xingiang and fear that some people boycott its products. I feel this may affect Nike business in China where it has more than 100 factories. But since Magni does not esport its stuff to China, I feel its sales may not be affected very much.Hope a clearer picture on this emerges soon.
US-China conflict ever escalating... without China market, Nike will suffer huge loss! Many Nike retail outlets closed down in many countries... be careful guys...
Magni is very vulnerable to Nike's recent move in China. Although Magni does not export to China, but its main revenue contributor is Nike. If you read its annual report carefully, most of the garment-related revenue is from Nike.
If Nike is affected, so does Magni. Better run now before the conflicts become worse.
Based fortune.com, "A quarter of China's sportswear production is idle, the result of global brands moving production because of the U.S.-China trade war". This is old news before the current controversy of cotton from Xingiang. I wonder whether this new development is a positive for Magni...
https://www.chinapress.com.my/?p=2451574 hello is this the way to show boycott aka buy more..nike is major sponsor of winter olympic for next year so impossible for them to banned.
Nike may take a hit because of their many factories in China. But global demand for Magni's products would still be there. But wonder where they souce their cotton from. Some stats show that the US is the largest producer followed by countries like India.
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