Mixed Q2 Results Send Nike Stock Falling After-Hours: The Details

Nike, Inc. NKE shares are trading lower in Thursday's after-hours session after the company reported its second-quarter financial results. Here's a overview of the company's performance during the quarter.

What To Know: Nike reported reported quarterly earnings of $1.03 per share, surpassing analyst expectations of 85 cents. The figure marks a 21.18% increase over earnings of 85 cents per share from the same period last year.

Revenue of $13.39 billion disappointed however, missing the Street's estimate of $13.43 billion, a 0.55% increase over sales of $13.31 billion from the same period last year.

The company's gross margin increased 170 basis points to 44.6%. Strategic pricing actions and lower ocean freight rates were cited as factors in the growth, although it was partially offset by detrimental changes in net foreign currency exchange rates as well as higher product input costs.

Additionally, Nike reported that cash and equivalents and short-term investments fell from approximately $0.7 billion from last year to $9.9 billion.

Nike also stated that it is assessing opportunities to deliver up to $2 billion in cumulative cost savings during the course of the next three years. The company also anticipates pre-tax restructuring charges of approximately $400 million to $450 million from its streamlining efforts which are in the early stages.

"Our Q2 results demonstrated how we are getting back on our front foot in our key areas of innovation and growth," said John Donahoe, President & CEO, NIKE, Inc. "This quarter showed strong execution by our team as we focus on our winning formula of innovative product, distinctive storytelling and differentiated marketplace experiences."

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NKE Price Action: Shares of NKE were down 5.57% at $115.64 in the after-hours session at the time of publication, according to Benzinga Pro.

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