Nike : Q4FY25 Financial Schedules & Key Financial Metrics

Published: 2025-06-27 02:41:20 ET NKE

Published on 06/27/2025 at 02:41

(Unaudited)

(In millions, except per share data)

5/31/2025

5/31/2024

Change

5/31/2025

5/31/2024

Change

Revenues

$ 11,097

$ 12,606

-12% $

46,309

$ 51,362

-10%

Cost of sales

6,628

6,972

-5%

26,519

28,475

-7%

Gross profit

4,469

5,634

-21%

19,790

22,887

-14%

Gross margin

40.3 %

44.7 %

42.7 %

44.6 %

Demand creation expense

1,253

1,091

15%

4,689

4,285

Operating overhead expense

2,895

2,997

-3%

11,399

12,291

-7%

Total selling and administrative expense

4,148

4,088

16,088

16,576

-3%

% of revenues

37.4 %

32.4 %

34.7 %

32.3 %

Interest expense (income), net

(22)

(53)

(107)

(161)

Other (income) expense, net

(127)

(76)

(228)

Income before income taxes

318

1,726

-82%

3,885

6,700

-42%

Income tax expense

107

226

-53%

666

1,000

-33%

Effective tax rate

33.6 %

13.1 %

17.1 %

14.9 %

NET INCOME

$ 211

$ 1,500

-86% $

3,219

$ 5,700

-44%

Earnings per common share:

Basic

$ 0.14

$ 0.99

-86% $

2.17

$ 3.76

-42%

Diluted

$ 0.14

$ 0.99

-86% $

2.16

$ 3.73

-42%

Weighted average common shares outstanding:

Basic

1,476.7

1,508.0

1,484.9

1,517.6

Diluted

1,477.7

1,516.7

1,487.6

1,529.7

Dividends declared per common share

0.400

0.370

1.570

1.450

(Unaudited)

May 31,

(Dollars in millions)

2025

2024

Change

ASSETS

Current assets:

Cash and equivalents

$ 7,464

$ 9,860

-24%

Short-term investments

1,687

1,722

-2%

Accounts receivable, net

4,717

4,427

Inventories

7,489

7,519

Prepaid expenses and other current assets

2,005

1,854

Total current assets

23,362

25,382

-8%

Property, plant and equipment, net

4,828

5,000

-3%

Operating lease right-of-use assets, net

2,712

2,718

Identifiable intangible assets, net

259

Goodwill

240

Deferred income taxes and other assets

5,178

4,511

15%

TOTAL ASSETS

$ 36,579

$ 38,110

-4%

LIABILITIES AND SHAREHOLDERS' EQUITY

Current liabilities:

Current portion of long-term debt

$ -

$ 1,000

-100%

Notes payable

-17%

Accounts payable

3,479

2,851

22%

Current portion of operating lease liabilities

502

477

Accrued liabilities

5,911

5,725

Income taxes payable

669

534

25%

Total current liabilities

10,566

10,593

Long-term debt

7,961

7,903

Operating lease liabilities

2,550

2,566

-1%

Deferred income taxes and other liabilities

2,289

2,618

-13%

Redeemable preferred stock

Shareholders' equity

13,213

14,430

-8%

TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY

$ 36,579

$ 38,110

-4%

(Unaudited)

(Dollars in millions) 5/31/2025 5/31/2024 Change

North America

Footwear

$ 3,104

$ 3,587

-13%

-13% $

12,684

$ 14,537

-13%

Apparel

1,303

1,398

-7%

5,837

5,953

-2%

Equipment

296

293

1,051

906

16%

Total

4,703

5,278

-11%

19,572

21,396

-9%

-8%

Europe, Middle East & Africa

Footwear

1,893

2,067

-8%

-9%

7,569

8,473

-11%

-10%

Apparel

929

1,049

-11%

-12%

3,971

4,380

-9%

Equipment

178

176

717

754

-5%

Total

3,000

3,292

-9%

-10%

12,257

13,607

-10%

Greater China

Footwear

1,074

1,357

-21%

-20%

4,805

5,552

-13%

Apparel

372

460

-19%

1,616

1,828

-12%

Equipment

-35%

-33%

165

Total

1,476

1,863

-21%

-20%

6,586

7,545

-13%

-12%

Asia Pacific & Latin America

Footwear

1,114

1,226

-9%

-5%

4,452

4,865

-8%

-4%

Apparel

398

416

-4%

-1%

1,541

1,614

-5%

-1%

Equipment

258

250

Total

1,575

1,705

-8%

-3%

6,251

6,729

-7%

-3%

Global Brand Divisions2

-18%

10%

TOTAL NIKE BRAND

10,763

12,149

-11%

44,714

49,322

-9%

Converse

357

480

-26%

1,692

2,082

-19%

-18%

Corporate3

(23)

(97)

(42)

TOTAL NIKE, INC. REVENUES

$ 11,097

$ 12,606

-12%

-11% $

46,309

$ 51,362

-10%

-9%

TOTAL NIKE BRAND

Footwear

$ 7,185

$ 8,237

-13%

-12% $

29,510

$ 33,427

-12%

-11%

Apparel

3,002

3,323

-10%

-9%

12,965

13,775

-6%

-5%

Equipment

567

578

-2%

-1%

2,191

2,075

Global Brand Divisions2

-18%

10%

TOTAL NIKE BRAND REVENUES

$ 10,763

$ 12,149

-11%

-11% $

44,714

$ 49,322

-9%

1The 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.

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

3Corporate 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.

(Unaudited)

(Dollars in millions)

5/31/2025

5/31/2024

Change

Changes1

NIKE Brand Revenues by:

Sales to Wholesale Customers

$ 25,883 $

27,758

-7%

-6%

Sales through NIKE Direct

18,783

21,519

-13%

-12%

Global Brand Divisions2

10%

TOTAL NIKE BRAND REVENUES

$ 44,714 $

49,322

-9%

NIKE Brand Revenues by:3

Men's

$ 23,216 $

24,785

-6%

Women's

9,719

10,366

-6%

-5%

Kids'

5,695

6,019

-5%

Jordan Brand

7,270

8,701

-16%

Others4

(1,234)

(594)

-108%

-106%

Global Brand Divisions2

10%

TOTAL NIKE BRAND REVENUES

$ 44,714 $

49,322

-9%

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

3Beginning in fiscal 2025, with the continued rollout of a new Enterprise Resource Planning Platform, we have removed the non-GAAP financial measure of wholesale equivalent revenues. There is no change to our reported revenues or gross margin. Prior year amounts have been recast to conform to fiscal 2025 presentation.

4Others include products not allocated to Men's, Women's, Kids' and Jordan Brand, as well as certain adjustments that are not allocated to products designated by consumer.

(Unaudited)

(Dollars in millions)

5/31/2025

5/31/2024

Change

5/31/2025

5/31/2024

Change

North America

$ 1,045

$ 1,462

-29% $

4,735

$ 5,822

-19%

Europe, Middle East & Africa

472

797

-41%

2,575

3,388

-24%

Greater China

304

548

-45%

1,602

2,309

-31%

Asia Pacific & Latin America

319

479

-33%

1,527

1,885

-19%

Global Brand Divisions2

(1,246)

(1,148)

-9%

(4,699)

(4,720)

TOTAL NIKE BRAND1

894

2,138

-58%

5,740

8,684

-34%

Converse

-71%

240

474

-49%

Corporate3

TOTAL NIKE, INC. EARNINGS BEFORE

(625)

(559)

-12%

(2,202)

(2,619)

16%

INTEREST AND TAXES1

296

1,673

-82%

3,778

6,539

-42%

EBIT margin1

2.7 %

13.3 %

8.2 %

12.7 %

Interest expense (income), net

(22)

(53)

(107)

(161)

TOTAL NIKE, INC. INCOME BEFORE INCOME TAXES

318

1,726

-82% $

3,885

6,700

-42%

1Management 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 expense (income), 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.

2Global 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.

3Corporate 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. For the twelve months ended May 31, 2024, Corporate includes the restructuring charges, recognized as a result of the Company taking steps to streamline the organization. These charges primarily reflect employee severance costs. An immaterial amount of restructuring charges was recognized for the three months ended May 31, 2024.

(Unaudited)

Add: Restructuring charges

0.03

0.29

Tax effect of the restructuring charges1(0.01) (0.07)

1Tax effect was determined by applying the tax rate applicable to the specific item.

2Diluted earnings per share excluding the restructuring charges is a non-GAAP financial measure. The most comparable GAAP measure is Diluted earnings per share. The Company uses Diluted earnings per share excluding the restructuring charges to facilitate the evaluation of the Company's performance. The Company believes that providing Diluted earnings per share excluding the impacts of the restructuring charges is useful to investors for comparability between periods and allows investors to evaluate the impacts of the restructuring charges separately. For the three and twelve months ended May 31, 2025, there were no material restructuring charges impacting comparability.

Disclaimer

Nike Inc. published this content on June 27, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on June 27, 2025 at 06:40 UTC.