Nike Tops Quarterly Earnings as Tariff Refund Boosts Margins
Nike Inc. reported quarterly revenue and earnings that exceeded Wall Street expectations on Tuesday, driven primarily by a nearly $986 million refund from global duties that the Supreme Court recently struck down. For the fiscal fourth quarter, the athletic apparel maker posted $10.97 billion in revenue and $0.72 in diluted earnings per share, which included a $0.52 benefit from the expected tariff recovery. Gross margins jumped to 49.2% from 40.3% a year earlier, reflecting the substantial offset from the tariff windfall. Despite beating estimates, Nike shares fell approximately 4% in after-hours trading.
The decline follows revised guidance, which projected fiscal 2027 revenue to drop low-to-mid single digits, well below the 0.4% growth analysts forecast. Chief Executive Elliott Hill and CFO Matthew Friend cited softer discretionary spending, weaker store traffic, and persistent tariff headwinds across global markets. Greater China revenue fell 12% to $1.297 billion, marking another quarter of contraction in the region, while NIKE Direct sales dropped 7%. Hill acknowledged the challenging operating environment but pointed to progress in performance categories, noting that Nike’s running business grew by $1 billion over the last five quarters and gained five percentage points in market share.
From the sources (16 posts)
@zerohedge*NIKE 4Q EPS 72C VS. 14C Y/Y *NIKE 4Q REV. $10.97B VS. $11.10B Y/Y
@zerohedge*NIKE 4Q GROSS MARGIN 49.2% VS. 40.3% Y/Y *NIKE 4Q GREATER CHINA EBIT $243M, -20% Y/Y
@wallstengine$NKE Q4’26 EARNINGS HIGHLIGHTS 🔹 Revenue: $10.972B (Est. $10.85B) 🟢; -1% YoY 🔹 Gross Margin: 49.2%; +890 bps 🔹 EPS: $0.72; includes $0.52 benefit from expected IEEPA tariff recovery 🔹 Wholesale: $6.6B; +4% reported 🔹 NIKE Direct: $4.1B; -7
@financialjuice$NKE Nike Q4 Earnings EPS $0.72, est. $0.12 vs 14c YoY Revenue $10.97B, est. $10.84B vs $11.1B YoY Gross Margin 49.2% vs. 40.3% y/y Inventory $7.50B, +0.2% y/y Total Nike Brand Revenue $10.72B, -0.4% y/y Greater China EBIT $243M, -20% y/y
@alphasenseinc$NKE Earnings: - Full year revenues were $46.4 billion, flat on a reported basis and down 2 percent on a currency-neutral basis - Fourth quarter revenues were $11.0 billion, down 1 percent on a reported basis and down 4 percent on a curren
@wallstengineNike’s $NKE Q4 gross margin jumped 890 bps to 49.2%, driven almost entirely by an expected $986M recovery of IEEPA tariffs. The tariff recovery added roughly 900 bps to gross margin and $0.52 to EPS in the quarter.
@businessNike reported better-than-expected results last quarter, a sign that CEO Elliott Hill’s turnaround efforts are gaining some traction
@firstsquawkNIKE Q4: REVENUE $10.97B (-1.1% Y/Y); GROSS MARGIN 49.2% VS 40.3% Y/Y; INVENTORY $7.50B (+0.2% Y/Y); TOTAL NIKE BRAND REVENUE $10.72B (-0.4% Y/Y); GREATER CHINA EBIT $243M (-20% Y/Y)
@stockmktnewzNike $NKE stock is moving lower in after hours following its earnings 🔴🔴
@thetranscript_Nike CFO: "We delivered fourth quarter results in line with our expectations, demonstrating financial discipline in an increasingly challenging operating environment, where sell-through remains challenged" $NKE: -3% AH
@wsjThe sneakers and apparel company said the results were in line with its expectations, despite facing what it called an increasingly challenging operating environment where sell-through remains under pressure.
@cnbcNike results top estimates even as China sales drop 12%; retailer expects $986 million tariff refund
@firstsquawkNIKE SEES WEAKER DEMAND, WARNS OF CHALLENGING OUTLOOK • NIKE CEO SAYS THE COMPANY IS SEEING WEAKER STORE TRAFFIC AND SOFTER DISCRETIONARY SPENDING ACROSS GLOBAL MARKETS • NIKE IS RIGHT-SIZING ITS DISTRIBUTION NETWORK TO BETTER MATCH DEMAN
@reutersNike forecasts surprise fall in full-year revenue, shares tumble 4%
@alphasenseinc$NKE CEO Elliot Hill says Running grew $1 billion over the last five quarters and they gained five market share points. They have taken $2 billion out of the market in FY26 of their classic franchises. In the second half of FY27, Nike Sport
@cnbcNike on Tuesday posted quarterly earnings and revenue that topped Wall Street expectations, despite another sales decline in its key China market. The company said its gross margin increased 8.9% during the quarter, largely due to an expec