NIKE, Inc. reported a slight increase in revenues for fiscal year 2026, totaling $46.4 billion, compared to $46.3 billion in fiscal 2025. However, on a currency-neutral basis, revenues decreased by 2%. The company's wholesale revenues rose to $27.5 billion, up from $25.9 billion in the previous year, driven primarily by growth in North America. Conversely, NIKE Direct revenues fell to $17.7 billion from $18.8 billion, attributed to decreased traffic and sales through digital platforms. The gross margin improved by 20 basis points to 42.9%, reflecting lower warehousing and logistics costs.
In terms of profitability, NIKE's net income for fiscal 2026 was $3.1 billion, a decline of 3% from $3.2 billion in fiscal 2025. The effective tax rate increased to 20.3% from 17.1%, primarily due to a one-time deferred tax benefit recognized in the prior year. The return on invested capital (ROIC) also decreased to 18.7% from 20.2% in the previous fiscal year. The company returned approximately $2.5 billion to shareholders through dividends during the year.
Operationally, NIKE's employee headcount stood at approximately 73,000 as of May 31, 2026. The company continues to focus on strategic initiatives, including product innovation and marketplace management, to enhance consumer engagement and drive long-term growth. Notably, NIKE is repositioning its digital platforms and investing in brand marketing to support key product launches. The company has also recognized $385 million in employee severance costs related to organizational changes during the fiscal year.
Looking ahead, NIKE anticipates ongoing challenges, particularly in Greater China and Converse, where declining store traffic and elevated promotional activity are expected to negatively impact revenues and profitability. The company is committed to navigating these challenges while focusing on sustainable, profitable growth through innovation and enhanced consumer experiences.
About NIKE, Inc.
Nike, Inc. designs, develops, and markets athletic footwear, apparel, equipment, and accessories globally. Its brands include Nike, Jordan, and Converse, serving consumers through direct retail stores, digital platforms, and wholesale channels worldwide. Focused on innovation, performance, and brand engagement, Nike leverages marketing, sponsorships, and digital experiences to maintain its position as the leading athletic apparel and footwear company.
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