Nike (NKE) Q4 2025 earnings
Nike On Thursday, the sneakers giant Mali said that he expects his sales and profit drops to be moderate after he had just received the biggest financial hit from his return plan in his fourth quarter.
Wall Street’s expectations are low to the report, while Nike predicts in the upper and lower lines.
The company did this for the three -month period that ended on May 31st compared to the estimates of the analysts destroyed by LSEG:
- Earning per share: 14 cents and 13 cents permine per share
- Revenues: 11.10 billion dollars and 10.72 billion dollars estimation
The company’s net income for the quarter was $ 211 million or 14 cents per share compared to $ 1.5 billion or 99 cents per share compared to the previous year.
Sales, compared to the previous year from 12.61 billion dollars decreased by about 12% to 11.10 billion dollars.
In the last quarter, Nike warned that the return of the fourth quarter of the financial fourth quarter would be a low point, but since then the conditions have worsened, and investors made more pain to wonder if it would come.
In a press release, Nike Finance Chief Matt Friend confirmed that the “largest financial impact” will be seen from the return of the fourth quarter of the fourth quarter and the winds are expected to move forward.
“I trust our ability to navigate by focusing on what we can control in this existing dynamic and uncertain environment.” He said.
Nike shares fell more than 2% in extended transactions on Thursday.
During the quarter, Nike’s profits fell an amazing 86% when working to clear the old inventory, take wholesale partners back and reset their digital business. The largest Hit in the edge cavities came with Nike’s use of discounts and cleaning channels to evacuate inventory, and returned to a wholesale, which is a less profitable channel than selling it directly on the website and stores.
The company has warned that the strategy will lead to lower term profits, but it will leave the job in a healthier position in the long run.
During the quarter, Nike Direct revenue, representing stores, wholesale and website, decreased by 14%, led by a decrease of 26% in digital sales and a 9% decrease in wholesale sales.
But Nike stores were a bright point. Sales in Nike Stores increased by 2%for a quarter.
Pedestrian traffic data in Nike stores have been decreasing since October, but these figures show that conditions can improve. Placer.aiAn analysis company that uses anonymized data from mobile devices to estimate general visits to locations.
Monthly visits to Nike stores fell by 10.2% in April compared to the previous year, but this decrease narrowed to 3.2% in May. Placer.ai.
In all regions for a quarter, income fell, but it came a little better than expected in North America, Nike’s largest market. According to StreetCount, sales fell better than an analyst of $ 4.42 billion and decreased to $ 4.70 billion in North America.
According to StreetCount, Chinese revenue reached $ 1.48 billion that an analyst of $ 1.50 billion expected.
Since Nike has recently reported earnings, the tariffs imported from China rose to 30%. CNBC increased prices throughout the diversity of the company to balance these costs.
CNBC, Kim Kardashian’s first product launch from the highly anticipated partnership with Intimates Line Skims had to be broadcast in the quarter, but now this year is late.
When Nike hosts the conference meeting at 17:00 ET, investors will mostly deal with Nike’s guidance. However, Wall Street is looking for more details as to return to the launch of the product launch pipeline and costs.
Plans for Nike’s partnership with Skims will also be an important area of interest. Beyond cleaning of the old inventory and publishing more innovative styles, Nike is trying to win more women who are estimated to represent about 40% of their work.
This gender gap is not ideal for optional retailers, because women tend to spend more clothes than men. Nike has lost its market share to its athletic clothing competitors such as Lululemon and Alo Yoga, who appeal to a similar customer but aimed at women.
Sports shoes are still the most important part of Nike’s work, but the clothing is a growth area for the company and represents about 28% of Nike brand revenue in 2024 financially.
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