The company was foundedon January 25, 1964 under the name Blue Ribbon Sports, and officially becameNike, Inc. May 30, 1978.
Nike sells its products under its own brand, as wellas Nike Golf, Nike Pro, Nike +, Air Jordan, Nike Skateboarding and also underthe subsidiaries of Cole Haan, Hurley International and Converse. Nike is thesponsor of many athletes and sports teams around the world. Chairman of the Board of Directorsis Phil Knight, who is one of the co-founders of the company and its presidentfrom 1968 to 2004.
President and CEO is Mark Parker (since 2006). He is in thecompany since 1979. President of the brand Nike is Trevor Edwards (from 2013). Heis in the company since 1992, before Nike, he was working for Colgate PalmoliveCompany. Inmany ways the company describes itself as innovative. This is how thecorporation challenges itself better.
And the results of business: Nike hasachieved more, doubled earnings and nearly three times increased earnings pershare in the past 10 years. And it does not plan to slow down in the nearfuture.Nike took 40 years toachieve an annual income of $20 billion. Nike stores operate in almost everycountry around the world. Nike constantly rises above the complexities thatcreate uncertainty to stimulate growth.The financial activityof Nike Corporation at the end of fiscal year 2016 was favourable.
Thetraditional end of the fiscal year for Nike Corporation is considered to be May31 of the corresponding year. In this fiscal year, it managed to get 30.6billion revenue, 14.1 billion gross profit and 3.2 billion US dollars netprofit. As a result, corporation managed to keep only 11% of total revenue. Infiscal year 2016, company managed to increase revenues by $2.8 billion, anincrease of 10 percent, production costs increased by only $1.
2 billion, anincrease of 8 percent. There is a positive trend of a 2 percent increase inrevenue to production costs.Nike Corporation has 7business segments for which it receives sales revenues. The largest segment isSportswear; its share in the revenue is 25.5 percent, more precisely 6.5billion dollars.
The second largest isRunning, its share is 19 percent with an indicator of 4.8 billion dollars. Thethird is the Basketball segment with a share of 14 percent and an indicator of3.7 billion dollars.