Nike reports double-digit profit growth after Colin Kaepernick controversy
Profits at Nike rose double-digits in the months after launching a controversial ad campaign with Colin Kaepernick, a rebuke to critics like President Trump who chastised the company for selecting the former-National Football League player who became the face of pregame protests.
Revenue at the Beaverton, Ore.-based retailer rose 10 percent in the three months through November to $9.3 billion. Net income also increased 10 percent to $847 million. Sales in North America, which would theoretically be most impacted by the marketing ploy, rose 9 percent in the quarter to $3.7 billion.
“We’re incredibly energized about 2019 — with a full innovation pipeline; the most personal, responsive retail experiences in the industry; and a supply chain that’s delivering speed at scale," CEO Mark Parker said in a statement on Thursday.
Nike's decision to feature Kaepnerick in the 30th anniversary of its "Just Do It" campaign sparked intense backlash, including from conservatives who opposed his decision to kneel during the National Anthem in protest of police brutality in America. Trump said the selection sends a "terrible message and a message that shouldn't be sent."
While Nike's shares slid slightly after unveiling the campaign, they soon recovered. The company's stock rose 7.66 percent to $72.20 in after-hours trading in New York on Thursday.
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