What to expect from Nike
Nike Inc. (NYSE: NKE) is scheduled to report its fiscal fourth-quarter results on Thursday. The consensus estimates from Thomson Reuters call for earnings per share (EPS) of $0.83 and $7.68 bln in revenue. In the same period of the previous year, Nike posted EPS of $0.78 and revenue of $7.42 bln. The company is getting even bigger now. The NBA and Nike announced an eight-year global merchandising and marketing partnership that will make Nike the official on-court apparel provider beginning with the 2017-18 season. This deal will make Nike the first apparel partner to have its logo appear on all on-court uniforms. The deal is reported to be worth over $1 bln.
Basically Nike will replace Adidas as apparel provider to the NBA in two years. Both Nike and the NBA do have a history together, as Nike has been a global marketing partner of the NBA since 1992.