Nike on Thursday edged past market expectations for quarterly revenue, helped by resilient demand for its running shoes amid a big marketing push to fend off stiff competition from upstart brands in North America.
Reuters
The company reported second-quarter revenue of $12.43 billion, compared with analysts’ average estimate of $12.22 billion, according to data compiled by LSEG.
Nike is returning to wholesalers, after it had reduced exposure to the channel for some time, and refreshing its product lines to focus on categories such as running and basketball, as it tries to reclaim its sporting roots under CEO Hill’s extensive turnaround plan.
The company is also investing in introducing product lines such as its NikeSKIMS partnership with Kim Kardashian‘s brand as well as announcing a motorized footwear system to help casual athletes and mobility-impaired people move faster.
However, tariffs on imports from Vietnam, where the world’s largest footwear company manufactures around 50% of its shoes, have continued to pressure Nike’s margins.
Increasing its exposure at wholesalers has also hit margins, even though the company has been introducing fresher, higher-priced products at its direct-to-consumer channels.
Executives noted in September that Nike’s recovery would not be linear, as in the current economic environment, consumers have turned increasingly picky about spending big bucks on non-essential items with tariffs and inflation squeezing budgets.
The need to stay relevant through sleek marketing campaigns and innovation in its product lines has become more pressing for apparel makers, with companies such as yogawear maker Lululemon also losing ground to newer brands such as Vuori and Alo Yoga.
Nike’s gross margin for the quarter ended November 30 fell 300 basis points, compared with a 320 basis points fall in the preceding three-month period.
Montpellier-based group Socri Limited has announced a change of identity to become Ceiba, a name registered in around thirty countries to support the group’s international ambitions.
Ceiba
The group notably operates the Polygone shopping centres in Béziers and Montpellier, the Galeries Lafayette department stores in Avignon and Béziers, and the La Coupole shopping centre in Nîmes.
“Ceiba is a logical step,” explained its chairman, Nicolas Chambon. “We are not changing what we do; we are embracing what we have become. This new name allows us to assert an identity that is clear, committed, and true to our values.”
The name Ceiba, taken from the sacred Latin American tree, had already been used by the group’s U.S. subsidiary. Its adoption at group level “forms part of a deliberate international trajectory,” according to the company, which was founded in 2023.
The company’s new logo – Ceiba
The group’s Nîmes shopping centre recently welcomed the opening of a Galeries Lafayette store, inaugurated on October 2. The opening is reported to have delivered a 45% increase in footfall at the 13,500-square-metre shopping centre at the start of autumn.
MadaLuxe Group on Thursday said it has acquired fine jewelry brand Ippolita, as the U.S. lifestyle group looks to bolster its portfolio and expand into the fine jewelry category.
Ippolita
Financial terms of the deal were not disclosed.
Under the deal, founder of Ippolita, Ippolita Rostagno, will continue in her role as chief creative officer, overseeing all aspects of design across the brand’s jewelry collections.
“I founded Ippolita with the belief that fine jewelry should celebrate the artistry of the hand and honor the individuality of the women who wear it,” said Rostagno. “Joining MadaLuxe Group opens an exciting new chapter—one that allows us to protect our heritage while embracing meaningful opportunities for growth. I am delighted to continue guiding the brand’s creative vision as we reach an even broader global audience.”
Launching in 1999 exclusively at Bergdorf Goodman, Ippolita is known for its sculptural jewelery that blends contemporary design with Italian craftsmanship. Today, the brand is sold through leading luxury retailers and boutiques worldwide.
“We are thrilled to welcome Ippolita into the MadaLuxe Group family,” said Adam Freede, CEO and co-founder of MadaLuxe Group, which added it will support the New York fine jewelry brand’s continued growth across key markets worldwide.
“Ippolita is an iconic brand with a rich artistic heritage, extraordinary customer loyalty, and a timeless visual vocabulary. We see significant opportunity to drive brand growth through strategic support and investment. Above all, we saw a great chance to add someone as talented as Ippolita to the MadaLuxe family, who views the importance of people and company culture the same way that we do.”
Volcom and Boardriders brands are returning to Hawaii with the reopening of two flagship retail locations on O’ahu, marking a renewed commitment to the surf culture that has long shaped the brands’ identities.
Volcom and Boardriders brands reestablish retail presence in Hawaii. – Volcom
Boardriders will reopen its U.S. flagship in Waikīkī through Authentic’s partnership with BR Japan. Located steps from the Duke Kahanamoku statue, the more than 7,000-square-foot space will serve as a key global retail destination, offering a curated assortment of Action and Outdoor brands including Quiksilver, Billabong, Volcom, Roxy and RVCA.
“Our store sits right in front of the birthplace of surfing, the most important location in surfing history,” said Sammy Yoo, president of BR Japan.
“This is our flagship store, arguably the most important property in the surf industry, and we want it to feel truly original. The imagery we’re collecting, from Waikīkī’s early surf culture to iconic shots of our athletes, honors the past while inspiring the future.”
Volcom will also reestablish its presence on the North Shore with the reopening of its Haleiwa store through Authentic’s partnership with The Levy Group, which has teamed up with longtime Hawaii retailer Cycle City.
“Reestablishing Volcom’s presence in Haleiwa is an important milestone for us,” said Louis Levy, president of The Levy Group.
“Hawaii has always been central to the brand’s story, and we’re committed to building stores with a partner that reflects the energy, creativity, and authenticity that define Volcom. With our iconic Volcom houses at Pipeline only six and a half miles away, re-opening this location is another step in supporting Volcom athletes, consumers, and the community on O’ahu’s North Shore”
Authentic acquired Boardriders from funds managed by Oaktree Capital Management, L.P., in 2023. Through this acquisition, Authentic expanded its portfolio with Quiksilver, Billabong, Roxy, DC Shoes, RVCA, Element, VonZipper and Honolua. Likewise, Authentic acquired the Volcom brand from luxury giant Kering in 2019.
Since acquiring the brands, Authentic has focused on expanding the Action and Outdoor Sports portfolio through partnerships that reflect the heritage of each label. The Hawaii openings follow the launch of 15 new stores across Western Europe and contribute to more than 20 new retail locations opened globally with partners to date.