🔹 Revenue: $11.1B (Est. $10.72B) 🟢; DOWN -12% YoY
🔹 Adj. EPS: $0.14 (Est. $0.12) 🟢; DOWN -86% YoY
🔹 Net Income: $211M (Est. $185.9M) 🟢
🔹 Pretax Profit: $318M (Est. $233.5M) 🟢
🔹 Gross Margin: 40.3% (DOWN 440 bps YoY)
Segment Breakdown:
🔹 Nike Brand Revenue: $10.8B; DOWN -11% YoY
🔹 Nike Direct Revenue: $4.4B; DOWN -14% YoY
🔹 Nike Brand Digital: DOWN -26% YoY
🔹 Nike-Owned Stores: UP +2% YoY
🔹 Wholesale Revenue: $6.4B; DOWN -9% YoY
🔹 Converse Revenue: $357M; DOWN -26% YoY
Expense Breakdown:
🔹 Selling & Admin Expense: $4.1B; UP +1% YoY
🔹 Demand Creation Expense: $1.3B; UP +15% YoY
🔹 Operating Overhead: $2.9B; DOWN -3% YoY
🔹 Effective Tax Rate: 33.6% (vs. 13.1% YoY)
Balance Sheet & Capital Return:
🔹 Inventory: $7.5B (Flat YoY)
🔹 Cash & Equivalents: $9.2B; DOWN -$2.4B YoY
🔹 FY25 Shareholder Return: $5.3B
🔸 Dividends: $2.3B; UP +6% YoY
🔸 Buybacks: $3.0B (37.6M shares repurchased)
🔹 Q4 Shareholder Return: $0.8B
🔸 Dividends: $591M; UP +6% YoY
🔸 Buybacks: $202M (3.2M shares)
CEO Elliott Hill Commentary:
🔸 "While our financial results are in-line with expectations, they are not where we want them to be. Our 'sport offense' realignment will accelerate Win Now actions to reposition the business for future growth."
CFO Matthew Friend Commentary:
🔸 "Q4 reflects the largest financial impact from our Win Now actions. We expect headwinds to moderate going forward and remain focused on what we can control."
Strategic Updates:
🔸 Nike’s "Sport Offense" strategy to focus on key sports categories, storytelling, product completeness, and consumer connection.
🔸 Continued commitment to returning value to shareholders with consistent dividend growth and buybacks under the $18B authorization.