Nike Hikes Dividend by 12% ahead of Expected Sales Bounce

Fashion

November 20th, 6:23pm

Asharq Al-Awsat

Nike in September said it expects sales in the second half of its fiscal year ending May 2021 to be ‘up significantly’. (AP)

Nike Inc said on Friday it would raise its quarterly dividend by 12%, or 3 cents per share, underscoring the financial strength of the world's largest sportswear maker in the midst of the COVID-19 pandemic. Nike in September said it expects sales in the second half of its fiscal year ending May 2021 to be “up significantly”, as it bounces back from a slump earlier this year when retailers canceled orders and lockdowns kept people away from stores in key markets. The company’s share price, up about 30% this year, has more than doubled since its March low as it slashed costs by cutting corporate jobs and targeted online investments. A cash dividend of $0.275 per share on Nike’s outstanding class A and class B stock is payable on Dec. 29. 2020 marks Nike’s 19th consecutive year of increasing dividend payouts, after raising quarterly payments by 11% in 2019, and comes as many other companies either cut or pause shareholder returns due to the virus outbreak.

from Asharq AL-awsat https://english.aawsat.com/home/article/2636781/nike-hikes-dividend-12-ahead-expected-sales-bounce