Financial Report of NIKE

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Financial Report of NIKE
Company’s Introduction
Nike, the Greek goddess of victory, helped others succeed in times of war. NIKE, the world’s top shoemaker, does more dominating than assisting, to capture more than 20% of the US athletic shoe market. The company designs and sells shoes for a variety of sports, including baseball, cheerleading, golf, volleyball, hiking, tennis, and football. NIKE also sells Cole Haan dress and casual shoes and a line of athletic apparel and equipment. In addition, it operates NIKETOWN shoe and sportswear stores, NIKE factory outlets, and NIKE Women shops. NIKE sells its products throughout the US and in more than 160 other countries. NIKE veteran Mark Parker succeeded Bill Perez, who resigned in 2006, as president and CEO.

Key People

Chairman: Philip H. Knight

President, CEO, and Director: Mark G. Parker

VP and CFO: Donald W. Blair

Contact Information

Phone: 503-671-6453

Fax: 503-671-6300

Financial Highlights

Fiscal Year End: May

Revenue (2006): 14954.90 M

Revenue Growth (1 yr): 8.80%

Employees (2006): 28,000

Employee Growth (1 yr): 7.70%

Balance Sheet of Nike

(Amounts are in thousands)

PERIOD ENDING 31-May-06 31-May-05 31-May-04

Assets

Current Assets

Cash and Cash Equivalents 954,200 1,388,100 828,000

Short Term Investments 1,348,800 436,600 400,800

Net Receivables 2,599,200 2,372,300 2,285,200

Inventory 2,076,700 1,811,100 1,633,600

Other Current Assets 380,100 343,000 364,400

Total Current Assets 7,359,000 6,351,100 5,512,000

Long Term Investments – – –

Property Plant and Equipment 1,657,700 1,605,800 1,586,900

Goodwill 130,800 135,400 135,400

Intangible Assets 405,500 406,100 366,300

Accumulated Amortization – – –

Other Assets – – –

Deferred Long Term Asset Charges 316,600 295,200 291,000

Total Assets 9,869,600 7,891,6008,793,600

Liabilities

Current Liabilities

Accounts Payable 2,368,000 1,993,000 1,861,100

Short/Current Long Term Debt 255,300 6,200 147,900

Other Current Liabilities – – –

Total Current Liabilities 2,623,300 1,999,200 2,009,000

Long Term Debt 410,700 687,300 682,400

Other Liabilities – – –

Deferred Long Term Liability Charges 550,100 462,600 418,200

Minority Interest – – –

Negative Goodwill – – –

Total Liabilities 3,584,100 3,149,100 3,109,600

Stockholders’ Equity

Misc Stocks Options Warrants – – –

Redeemable Preferred Stock 300 300 300

Preferred Stock – – –

Common Stock 2,800 2,800 2,800

Retained Earnings 4,713,400 4,396,500 3,982,900

Treasury Stock – – –

Capital Surplus 1,451,400 1,182,900 887,800

Other Stockholder Equity 117,600 62,000 (91,800)

Total Stockholder Equity 6,285,200 5,644,200 4,781,700

Net Tangible Assets 5,748,900 5,102,700 4, 280, 00

Cash Flow Statement of Nike

(All amounts are in thousands)

PERIOD ENDING 31-May-06 31-May-05 31-May-04

Net Income 1,392,000 1,211,600 945,600

Operating Activities, Cash Flows Provided By or Used In

Depreciation 290,900 287,700 310,400

Adjustments to Net Income 28,200 84,400 66,200

Changes in Accounts Receivables (85,100) (93,500) 82,500

Changes in Liabilities 279,400 112,400 269,100

Changes in Inventories (200,300) (103,300) (55,900)

Changes in Other Operating Activities (37,200) 71,400 (103,500)

Total Cash Flow from Operating Activities

1,667,900 1,570,700 1,514,400

Investing Activities, Cash Flows Provided By or Used In

Capital Expenditures (333,700) (257,100) (213,900)

Investments (909,900) (35,300) (401,700)

Other Cash flows from Investing Activities (33,000)(68,000)(330,900)

Total Cash Flows from Investing Activity

(1,276,600) (360,400) (946,500)

Financing Activities, Cash Flows Provided By or Used In

Dividends Paid (290,900) (236,700) (179,200)

Sale Purchase of Stock (535,800) (329,400) (166,200)

Net Borrowings (24,200) (90,900) (53,100)

Other Cash Flows from Financing Activities – – –

Total Cash Flows from Financing Activities

(850,900) (657,000) (398,500)

Effect of Exchange Rate Changes 25,700 6,800 24,600

Nike Shares

Direct competitor comparison

NKE ADDYY.PK Pvt1 Pvt2 Industry

Market Captured: 27.03B N/A N/A N/A 883.02M

Employ­ees: 28,000 N/A N/A 2,800 543

Quarterly Revenue Growth: 8.70% N/A N/A N/A 8.80%

Revenue: 15.95B N/A N/A 1.54B 451.89M

Gross Margin: 43.86% N/A N/A N/A 41.04%

Operational Margins: 12.58% N/A N/A N/A 10.85%

Net Income: 1.39B N/A N/A N/A 35.93M

Earnings per Share: 2.703 N/A N/A N/A 1.52

Intraday performance summary of Nike

Direct Share holders

Holder Shares Reported

HAYES DELBERT J 552,900 16-Jun-05

HOUSER DOUGLAS G 155,374 16-Apr-07

PARKER MARK G 137,554 9-Apr-07

PEREZ WILLIAM D 109,684 28-Dec-05

DENUNZIO RALPH D 78,400 19-Jan-07

Top Institutional Share holders

NET SHARE PURCHASE ACTIVITY

Insider Purchases – Last 6 Months

Shares Trans

Purchases N/A 0

Sales 5,341,640 36

Net Shares Purchased

(Sold) (5,341,640) 36

Total Insider Shares Held 20.29M N/A

% Net Shares Purchased

(Sold) (20.8%) N/A

Other Share holders of Nike

Shares Transactions of Nike

INSIDER TRANSACTIONS REPORTED

Recent Products of Nike

Recent Products of Nike

Recent Products of Nike

Recent Products of Nike

Conclusion:

As I could outline that Nike is the Global Leader Sports Shoe making. Not only that but also they make textiles and apparels. They have a strong hold in US market as well as the global market.

References:

1. www.nikeinfo.com
2. www.yahoo.com
3. www.google .com