NIKE, Inc. Reports Fiscal 2026 Second Quarter Results

BEAVERTON, Ore.--( BUSINESS WIRE)--NIKE, Inc. (NYSE:NKE) today reported fiscal 2026 financial results for its second quarter ended November 30, 2025.

"NIKE is in the middle innings of our comeback. We are making progress in the areas we prioritized first and remain confident in the actions we're taking to drive the long-term growth and profitability of our brands," said Elliott Hill, President & CEO, NIKE, Inc. "Fiscal 26 continues to be a year of taking action through Win Now, including realigning our teams, strengthening partner relationships, rebalancing our portfolio, and winning on the ground. We're finding our rhythm in our new sport offense, and setting ourselves up for the next phase of athlete-centered innovation in an elevated and integrated marketplace."

"In the second quarter, we demonstrated the resilience of our portfolio, delivering modest top-line reported growth while managing headwinds from repositioning our business in a dynamic operating environment," said Matthew Friend, Executive Vice President & Chief Financial Officer, NIKE, Inc. "We are making the shifts required to position our portfolio for a full recovery and driving real-time decisions in service of the long-term health of our brands."

Second Quarter Income Statement Review

November 30, 2025 Balance Sheet Review

Shareholder Returns

NIKE has a strong track record of returns to shareholders, including 24 consecutive years of increasing dividend payouts. In the second quarter, the Company returned approximately $598 million to shareholders through dividends, up 7 percent from the prior year.

Conference Call

NIKE, Inc. management will host a conference call beginning at approximately 2:00 p.m. PT on December 18, 2025, to review fiscal second quarter results. The conference call will be broadcast live via the Internet and can be accessed at https://investors.nike.com. For those unable to listen to the live broadcast, an archived version will be available at the same location through approximately 9:00 p.m. PT, January 8, 2026.

About NIKE, Inc.

NIKE, Inc., based near Beaverton, Oregon, is the world's leading designer, marketer and distributor of authentic athletic footwear, apparel, equipment and accessories for a wide variety of sports and fitness activities. Converse, a wholly-owned NIKE, Inc. subsidiary brand, designs, markets and distributes athletic lifestyle footwear, apparel and accessories. For more information, NIKE, Inc.’s earnings releases and other financial information are available on the Internet at https://investors.nike.com. Individuals can also visit https://news.nike.com and follow @NIKE.

Forward-Looking Statements

This press release contains forward-looking statements, which involve risks and uncertainties that could cause actual results to differ materially. These risks and uncertainties are detailed from time to time in reports filed by NIKE with the U.S. Securities and Exchange Commission (SEC), including Forms 8-K, 10-Q and 10-K.

Non-GAAP financial measures. See additional information in the accompanying Divisional Revenues table.

NIKE, Inc.

CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)

THREE MONTHS ENDED

SIX MONTHS ENDED

(In millions, except per share data)

11/30/2025

11/30/2024

Change

11/30/2025

11/30/2024

Change

Revenues

12,427

12,354

24,147

23,943

Cost of sales

7,382

6,965

14,159

13,297

Gross profit

5,045

5,389

-6

9,988

10,646

-6

Gross margin

40.6

43.6

41.4

44.5

Demand creation expense

1,273

1,122

2,461

2,348

Operating overhead expense

2,766

2,883

-4

5,594

5,705

-2

Total selling and administrative expense

4,039

4,005

8,055

8,053

% of revenues

32.5

32.4

33.4

33.6

Interest (income) expense, net

)

(24

)

—

(27

)

(67

)

—

Other (income) expense, net

)

—

(63

)

—

Income before income taxes

999

1,416

-29

1,921

2,723

-29

Income tax expense

207

253

-18

402

509

-21

Effective tax rate

20.7

17.9

20.9

18.7

NET INCOME

792

1,163

-32

1,519

2,214

-31

Earnings per common share:

Basic

0.54

0.78

-31

1.03

1.48

-30

Diluted

0.53

0.78

-32

1.03

1.48

-30

Weighted average common shares outstanding:

Basic

1,479.5

1,486.8

1,478.1

1,492.3

Diluted

1,481.0

1,490.0

1,480.0

1,495.9

Dividends declared per common share

0.410

0.400

0.810

0.770

NIKE, Inc.

CONSOLIDATED BALANCE SHEETS

(Unaudited)

November 30,

% Change

(Dollars in millions)

2025

2024

ASSETS

Current assets:

Cash and equivalents

6,974

7,979

-13

Short-term investments

1,371

1,782

-23

Accounts receivable, net

5,738

5,302

Inventories

7,726

7,981

-3

Prepaid expenses and other current assets

2,206

1,936

Total current assets

24,015

24,980

-4

Property, plant and equipment, net

4,843

4,857

Operating lease right-of-use assets, net

2,894

2,736

Identifiable intangible assets, net

259

Goodwill

240

Deferred income taxes and other assets

5,536

4,887

TOTAL ASSETS

37,787

37,959

LIABILITIES AND SHAREHOLDERS’ EQUITY

Current liabilities:

Current portion of long-term debt

999

1,000

Notes payable

—

-100

Accounts payable

3,717

3,255

Current portion of operating lease liabilities

513

481

Accrued liabilities

5,919

5,694

Income taxes payable

492

767

-36

Total current liabilities

11,640

11,246

Long-term debt

7,016

7,973

-12

Operating lease liabilities

2,754

2,562

Deferred income taxes and other liabilities

2,292

2,141

Redeemable preferred stock

—

Shareholders’ equity

14,085

14,037

TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY

37,787

37,959

NIKE, Inc.

DIVISIONAL REVENUES

(Unaudited)

% Change Excluding Currency Changes 1

THREE MONTHS ENDED

SIX MONTHS ENDED

(Dollars in millions)

11/30/2025

11/30/2024

Change

11/30/2025

11/30/2024

Change

North America

Footwear

3,542

3,236

6,761

6,448

Apparel

1,811

1,693

3,285

3,024

Equipment

280

250

607

533

Total

5,633

5,179

10,653

10,005

Europe, Middle East & Africa

Footwear

2,012

1,982

-2

4,033

3,934

-2

Apparel

1,196

1,136

2,302

2,129

Equipment

184

185

-1

-5

388

383

-4

Total

3,392

3,303

-1

6,723

6,446

Greater China

Footwear

954

1,203

-21

-20

2,063

2,449

-16

Apparel

442

472

-6

804

832

-3

Equipment

-25

-24

-29

-30

Total

1,423

1,711

-17

-16

2,935

3,377

-13

Asia Pacific & Latin America

Footwear

1,151

1,234

-7

2,212

2,286

-3

Apparel

457

437

828

785

Equipment

-19

-18

117

135

-13

Total

1,667

1,744

-4

3,157

3,206

-2

Global Brand Divisions 2

-31

-23

-33

-32

TOTAL NIKE BRAND

12,124

11,950

23,486

23,061

Converse

300

429

-30

-31

666

930

-28

-29

Corporate 3

(25

)

—

)

(48

)

—

TOTAL NIKE, INC. REVENUES

12,427

12,354

24,147

23,943

-1

TOTAL NIKE BRAND

Footwear

7,659

7,655

-1

15,069

15,117

-2

Apparel

3,906

3,738

7,219

6,770

Equipment

550

544

1,180

1,147

Global Brand Divisions 2

-31

-23

-33

-32

TOTAL NIKE BRAND REVENUES

12,124

11,950

23,486

23,061

1 The percent change has been calculated using actual exchange rates in use during the comparative prior year period and is provided to enhance the visibility of the underlying business trends by excluding the impact of translation arising from foreign currency exchange rate fluctuations, which is considered a non-GAAP financial measure. Management uses this non-GAAP financial measure when evaluating the Company's performance, including when making financial and operating decisions. Additionally, management believes this non-GAAP financial measure provides investors with additional financial information that should be considered when assessing the Company's underlying business performance and trends. References to this measure should not be considered in isolation or as a substitute for other financial measures calculated and presented in accordance with U.S. GAAP and may not be comparable to similarly titled non-GAAP measures used by other companies.

2 Global Brand Divisions revenues include NIKE Brand licensing and other miscellaneous revenues that are not part of a geographic operating segment.

3 Corporate revenues primarily consist of foreign currency hedge gains and losses related to revenues generated by entities within the NIKE Brand geographic operating segments and Converse, but managed through the Company's central foreign exchange risk management program.

NIKE, Inc.

EARNINGS BEFORE INTEREST AND TAXES 1

(Unaudited)

THREE MONTHS ENDED

SIX MONTHS ENDED

(Dollars in millions)

11/30/2025

11/30/2024

Change

11/30/2025

11/30/2024

Change

North America

1,261

1,371

-8

2,395

2,587

-7

Europe, Middle East & Africa

733

831

-12

1,468

1,623

-10

Greater China

191

375

-49

568

877

-35

Asia Pacific & Latin America

389

460

-15

739

862

-14

Global Brand Divisions 2

(1,072

)

(1,133

)

(2,264

)

(2,360

)

TOTAL NIKE BRAND 1

1,502

1,904

-21

2,906

3,589

-19

Converse

)

-108

174

-80

Corporate 3

(508

)

(565

)

(1,047

)

(1,107

)

TOTAL NIKE, INC. EARNINGS BEFORE INTEREST AND TAXES 1

990

1,392

-29

1,894

2,656

-29

EBIT margin 1

8.0

11.3

7.8

11.1

Interest (income) expense, net

)

(24

)

—

(27

)

(67

)

—

TOTAL NIKE, INC. INCOME BEFORE INCOME TAXES

999

1,416

-29

1,921

2,723

-29

1 Management evaluates the performance of the Company's segments and allocates resources based on earnings before interest and taxes (commonly referred to as "EBIT"), which represents Net income before Interest (income) expense, net and Income tax expense. Total NIKE Brand EBIT, Total NIKE, Inc. EBIT and EBIT margin are considered non-GAAP financial measures. Management uses these non-GAAP financial measures when evaluating the Company's performance, including when making financial and operating decisions. Additionally, management believes these non-GAAP financial measures provide investors with additional financial information that should be considered when assessing the Company's underlying business performance and trends. EBIT margin is calculated as total NIKE, Inc. EBIT divided by total NIKE, Inc. Revenues. References to EBIT and EBIT margin should not be considered in isolation or as a substitute for other financial measures calculated and presented in accordance with U.S. GAAP and may not be comparable to similarly titled non-GAAP measures used by other companies.

2 Global Brand Divisions primarily represents costs, including product creation and design expenses, that are centrally managed for the NIKE Brand, as well as costs associated with NIKE Direct global digital operations and enterprise technology. Global Brand Divisions revenues include NIKE Brand licensing and other miscellaneous revenues that are not part of a geographic operating segment.

3 Corporate consists primarily of unallocated general and administrative expenses, including expenses associated with centrally managed departments; depreciation and amortization related to the Company's corporate headquarters; unallocated insurance, benefit and compensation programs, including stock-based compensation; and certain foreign currency gains and losses, including certain hedge gains and losses.