Posted on Dec 22, 2023
Nike will lay off workers as part of $2-billion cost-cutting plan
542
3
1
2
2
0
https://www.npr.org/2023/12/22/ [login to see] /nike-layoffs-cost-cutting-q2-earnings
Nike plans cost-cutting measures to save up to $2 billion over the next three years, including layoffs and more automation.
The company also slashed its annual sales forecast to only 1%. This sent its own stock price down, along with shares of rivals Adidas, Puma and Lululemon.
The sportswear giant partly blamed slumping online sales, particularly in the key market of Greater China. which includes Hong Kong, Taiwan and Macau. Chief Financial Officer Matt Friend reported store sales in the region grew 16%, though Nike Digital sales fell 22% in the quarter that ended November 30.
"We are seeing indications of more cautious consumer behavior around the world," Friend told analysts on Thursday.
Nike plans cost-cutting measures to save up to $2 billion over the next three years, including layoffs and more automation.
The company also slashed its annual sales forecast to only 1%. This sent its own stock price down, along with shares of rivals Adidas, Puma and Lululemon.
The sportswear giant partly blamed slumping online sales, particularly in the key market of Greater China. which includes Hong Kong, Taiwan and Macau. Chief Financial Officer Matt Friend reported store sales in the region grew 16%, though Nike Digital sales fell 22% in the quarter that ended November 30.
"We are seeing indications of more cautious consumer behavior around the world," Friend told analysts on Thursday.
Nike will lay off workers as part of $2-billion cost-cutting plan
Posted from npr.org
Jobs
Employment
Posted 5 mo ago
Responses: 1
1
1
0
PO1 William "Chip" Nagel
...""We are seeing indications of more cautious consumer behavior around the world," Friend told analysts on Thursday.
He did not specify the scale of job cuts or other changes needed to achieve the $2-billion cost-cutting plan, but said the restructuring will include "reducing management layers" as well as "simplifying our product assortment."
...""We are seeing indications of more cautious consumer behavior around the world," Friend told analysts on Thursday.
He did not specify the scale of job cuts or other changes needed to achieve the $2-billion cost-cutting plan, but said the restructuring will include "reducing management layers" as well as "simplifying our product assortment."
(1)
(0)
Read This Next
Continue with Facebook 
Continue with Google