The Nike, Inc posted its slowest quarterly sales growth in nearly seven years in the face of intensifying competition from Adidas AG and said it expects a further drop in revenue from North America. Shares of the Dow component were trading down 3.7 per cent at $51.71 after the bell on Tuesday. Nike is battling pressures on many fronts - in North America a reinvigorated Adidas has taken market share, while athleisure , a decade-long trend that saw shoppers wear, sports apparel for formal and informal occasions, has been fading. athleisure , a decade-long trend that saw shoppers wear sports apparel for formal and informal occasions, has been fading.
Certain retailers may respond to the weaker demand in North America through door closures and potential discontinuities, which could lead to contraction of revenue in the market in the current quarter, Nike said in a post-earnings call .
Beaverton, Oregon-based Nike also said it expects its second-quarter revenue to grow in the low single-digit percentage range.
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