SAN FRANCISCO (Reuters) - Nike Inc posted a 10 percent rise in adjusted first-quarter earnings that beat Wall Street estimates on Wednesday and reported robust U.S. sales growth, despite the weakening economy.
The world's largest athletic footwear and apparel company said first-quarter net profit was $510.5 million, or $1.03 per share, from $569.7 million, or $1.12 per share, a year earlier. Revenue rose 17 percent to $5.4 billion in the quarter.
A $105.4 million tax benefit a year earlier boosted year-ago earnings by 20 cents per share. Excluding that one- time gain, Nike said net profit would have grown 10 percent.
Wall Street, on average, had been expecting earnings of 92 cents per share on revenue of $5.2 billion, according to Reuters Estimates.
Despite slowing growth in recent quarters in Nike's U.S. business, its largest and most mature market, the company posted a 8 percent sales rise in the U.S. during the quarter.
Revenues rose 20 percent in Europe -- with 15 percentage points of that gain coming from the weaker dollar -- and 36 percent in Asia, boosted 10 percentage points by the currency exchange rates.
Global orders for delivery of shoes and apparel from now until January rose 10 percent, with a 3 percent rise in the United States and gains of 4 percent and 27 percent, respectively, in Europe and Asia.
That total gain was well above the 5 percent rise expected by at least one analyst, McAdams Wright Ragen's Sara Hasan.
A weaker dollar has helped Beaverton, Oregon-based Nike in its international markets, as well as robust growth in Asia, especially China, where Nike sales were energized by the recent Olympics.
Nike shares, which are up 2.5 percent this year, are valued at nearly 16 times 2009 projected earnings, at a premium to rival Adidas AG
Nike shares closed at $59.27 on the New York Stock Exchange.
(Reporting by Alexandria Sage; Editing by Andre Grenon)
