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Nike issues 3Q warning
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February 26, 2001: 4:58 p.m. ET
Sports apparel maker to earn 34-to-38 cents for 3Q on market weakness
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NEW YORK (CNNfn) - Sports apparel maker Nike Inc. warned Monday that it expects its third-quarter profit to come in nearly 20 cents below expectations due to weakness in the U.S. footwear market.
Beaverton, Ore.-based Nike Inc. (NKE: Research, Estimates) expects to report third-quarter earnings per share of 34 cents-to-38 cents, down from its previously stated EPS forecast of 50 cents-to-55 cents a share range. However, Nike still expects to earn 60-to-65 cents a share for the fourth quarter ended May 31.
Earnings tracker First Call had anticipated 53 cents a share for the third quarter. The footwear maker earned 52 cents in the third quarter 2000.
On Dec. 19, Nike said it expected earnings percentage growth in the mid-teens for the full fiscal year. Nike now does not expect to hit that earnings target for the full fiscal year. First Call had expected 2.36 a share for fiscal 2001.
"Nike's business is healthy in every area except one," said Chairman Philip Knight. "We are enjoying strong results in all of our international regions, and in U.S. apparel and equipment; however, our U.S. footwear business continues to pose challenges."
Shares for Nike were halted in after-hours trading Monday. However, shares gained 17 cents to close at $49.17 during the trading day. 
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