Nike said a significant price increase effective from the year 2012

The world's largest shoe and sportswear maker Nike Inc. (Air Shoes ) recently said that significant price increases effective from the year 2012 to reflect the oil, cotton, rising wages and transport costs erode the company's profits. Nike Chief Financial Officer Tony Blair (DonBlair) At the recent conference call with analysts, said: We expect to continue for unfavorable factors, from the year 2012, we will substantially increase the price of a range of products.Running Shoes expects the cost of production increased the pressure on profits will be greater in the season. Oak Creek Investment Company (OakBrook) snow Lu Curry fund manager, said: This proves that rising production costs have hurt the profitability of Nike, Nike's profit margins will be under heavy pressure throughout the year this year. Nike announced the end of February for the year ended third quarter profit increased 5.2% to 500 million 23 million U.S. dollars, equivalent to $ 1.08 per share, higher than the same period of last year's 400 million $ 97,000,000 or $ 1.01 per share, but still lower than Analysts on average expected $ 1.12 per share. Revenue increased 7.3% last quarter to 50 billion 80 million U.S. dollars; Nike stores same store sales increased by 13%. Third quarter gross margin fell 1.1 percentage points to 45.8%, mainly due to increased costs in addition to production to meet increased consumer products by air also lower profits. Chaussures Sports is expected to gross margin in the quarter than the same quarter last year, down 3 percentage points, but after starting prices, margin pressure will be reduced. Nike third quarter sales growth is unevenly distributed in North America and China, sales increased by 9% and 21%, but decreased 2% in Western Europe, in Japan decreased by 8%.