It has been a tough year for Nike. The company’s stock fell nearly 40 percent due to investor concerns about slowing demand and inventory problems. However, positive earnings and sales in the second quarter boosted hopes that the luck was changing for the sports giant, leading to a rise in the stock.

Nike (ticker: NKE NKE +0.16% ) posted GAAP earnings of 85 cents per share on sales of $13.3 billion. Analysts had projected earnings of 67 cents per share on sales of $12.58 billion for the quarter.

The company also updated its projections for fiscal 2023 to reflect the strong results. Nike now expects full-year revenue to grow in the low tens in currency-neutral terms. However, currency headwinds will reduce sales by about 7 percentage points, leading to a mid-year revenue increase. The previous forecast for the fiscal year called for sales growth in the low to mid-single digits.