Nike reported $13.3 billion in second-quarter revenue, a 17% increase from the same period last year and beating analysts’ estimates of $12.57 billion.

But the sportswear and shoe giant’s net income was flat compared to the year prior at $1.3 billion.

Revenues for the Nike brand increased 18% year-over-year to $12.7 billion, while revenues for the Converse brand grew 5% to $586 million.

• Revenue in North America increased 30% to $5.8 billion.
• Sales in Greater China declined 3% to $1.8 billion.
• In Europe, the Middle East, and Africa, revenue increased 11% to $3.5 billion.
• Sales in Asia Pacific and Latin America jumped 19% to $1.6 billion.

Inventories were $9.3 billion, up 43% compared to last year, primarily attributed to “an increase in units from lapping prior year supply chains disruption, as well as higher input costs.” In North America alone, the company’s inventory had grown 65% over the last year.

Nike Allegations

Ahead of Nike’s earnings report on Tuesday, Business Insider published a report detailing results from 10 surveys previously taken by Nike employees included in an ongoing gender-discrimination lawsuit against Nike.

The surveys, which contain allegations of sexual and verbal harassment, were given to Mark Parker — Nike’s CEO at the time — on March 5, 2018. Nike went through a management reshuffle, and at least 11 executives left the company after Parker received the surveys.

Golf became even more popular during the pandemic, and apparently the PGA Tour’s finances bounced back in 2021, following COVID-related disruptions. 

The North American pro golf tour generated $1.59 billion in revenue in 2021, a 37% increase year-over-year, according to its 2021 tax filings. The growth comes despite increased competition in pro golf with the launch of the controversial LIV Golf League. 

• PGA Tour commissioner Jay Monahan was paid $13.9 million in 2021, down from the $14.2 million he made in 2020.
• The tax filing also revealed that Monahan flew on private jets for all of his personal and business travel in 2021.
• Previous tax filings by the PGA Tour had no mentions of costs associated with private jet travel. 

The PGA Tour’s ability to rebound from the pandemic has coincided with larger tournament purses as it manages players defecting for LIV’s lucrative contracts.

During the 2021-22 PGA Tour season, a record 126 golfers pocketed at least $1 million. The tour’s top earner was 26-year-old Scottie Scheffler, who made $14 million in 25 starts, including his Masters win. Scheffler also earned $5.75 million in FedEx Cup Playoffs bonuses.

New Face

Earlier this month, the PGA Tour hired Jeff Miller, a Republican power broker who founded Miller Strategies and was a top fundraiser for Donald Trump.

The hire could help the PGA Tour with an antitrust investigation launched earlier this year by the Department of Justice regarding alleged anticompetitive behavior in response to LIV Golf, sources told Front Office Sports.

The PGA Tour could also be seeking Miller’s help for an antitrust exemption similar to that of Major League Baseball.

Cricket Australia may have found its next domestic media rights holder. 

Paramount has emerged as the favorite to land a media rights deal with a seven-year, $1 billion bid that includes one-day international games, test matches, and the men’s and women’s Big Bash Leagues — two Twenty20 competitions launched by Cricket Australia in 2011.

• In 2018, Cricket Australia signed a six-year, $809 million domestic media rights pact with Foxtel and Seven Network.
• Before the deal, Cricket Australia had spent four decades airing games domestically through free-to-air TV broadcaster Nine Network.
• In July, Cricket Australia landed a deal with Disney worth $250 million to broadcast games in India via Disney Star.

Paramount has outbid Seven West Media and Foxtel — both of which have expressed reluctance in matching Paramount’s offer, believing the media rights are overvalued following lackluster TV ratings for a recent Australian test series and underwhelming audiences for BBL games.

Committed to Down Under 

In 2021, Paramount owner ViacomCBS landed a five-year, $155.5 million domestic media rights deal with The A-League and W-League — Australia’s top men’s and women’s soccer leagues. 

The deal, which includes streaming games on Paramount+, can be extended for three years.

Paramount+ reported 46 million subscribers for the third quarter ending Sept. 30. The service — which launched in March 2021 — added 4.6 million subscribers in Q3 but lost 1.9 million.

The NFL now owns a piece of its official combine partner.

League owners approved an investment in sneaker and apparel company NOBULL last week. The company struck a deal in October to become the official training partner of the NFL Scouting Combine.

• NFL owners also agreed to add $5 million each — $160 million total — into 32 Equity, the league’s investment fund.
• That injection brings the total amount invested by owners in 32 Equity to $256 million, not including redeployed income.
• NOBULL was valued at $500 million for a fundraise in April 2021.

Piece of the Action

The NFL has made a habit of investing in the companies it partners.

Since its founding in 2013, 32 Equity has invested in the NFL’s data provider Genius Sports, athlete recovery device company Hyperice, and software companies Appetize, Skillz, and Strivr, all of whom work with the league. 

On Location Experiences, which provides hospitality services at the Super Bowl, was valued at $660 million in a majority sale to Endeavor, following an investment by 32 Equity.

In April, the league invested a reported $320 million in Fanatics at a $27 billion valuation. The company has relationships with the league as a retailer and collectibles provider, as well as a sports betting deal with the Washington Commanders. 

Fanatics was valued at $31 billion following a $700 million fundraise earlier this month.