NKE 8-K
NIKE, Inc. (NKE)
8-K
2026-10-01
For: 2026-10-01
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Added on
October 01, 2026
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934
Date of Report (date of earliest event reported)
(Exact name of registrant as specified in its charter)
(State or other jurisdiction of incorporation) | (Commission File Number) | (I.R.S. Employer Identification No.) | |||||||||
(Address of principal executive offices and zip code)
(503 ) 671-6453
Registrant's telephone number, including area code
NO CHANGE
(Former name or former address, if changed since last report.)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Securities registered pursuant to Section 12(b) of the Act:
| (Title of each class) | (Trading Symbol) | (Name of each exchange on which registered) | ||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.
☐
Item 2.02 Results of Operations and Financial Condition
Today NIKE, Inc. (the "Company") issued a press release disclosing financial results for the fiscal quarter ended August 31, 2026. The text of the release is furnished herewith as Exhibit 99.1.
Item 2.05 Costs Associated with Exit or Disposal Activities
On October 1, 2026, the Company announced a multi-year enterprise program, which includes and builds upon the previous cost realignment plan announced in March 2026, collectively known as Pace (the "program"). The program is intended to enhance productivity, improve organizational effectiveness, and decrease the Company’s cost structure. The program includes initiatives to further optimize the Company’s global supply chain, better align the Company’s organizational structure to support its strategic goals, including through the establishment of a new campus in India and realigning the Company’s operating model into three geographies, as well as further streamlining of the organization to reduce costs.
The Board of Directors of the Company approved steps to implement the program, which are expected to result in pre-tax charges of approximately $1.0 billion, which is in addition to approximately $0.3 billion of severance costs recognized in fiscal 2026 in connection with the March 2026 plan. These costs are expected to consist primarily of employee severance and other employee-related costs. The Company expects approximately $0.3 billion to be recognized in fiscal 2027, with the remainder expected to be recognized through fiscal 2031. It is estimated that the majority of the charges will result in future cash expenditures and all charges will be substantially incurred by the end of fiscal 2031, subject to local law requirements.
The Company expects the program to deliver approximately $2.5 billion in cumulative savings through fiscal 2031. The savings estimate is stated before the expected pre-tax charges described above and any future reinvestment.
The expected savings, pre-tax charges and future cash expenditures are estimates and are subject to a number of assumptions, including local law requirements in various jurisdictions. Actual savings, charges and cash expenditures may differ, possibly materially, from the estimates provided above.
Forward-Looking Statements
This Current Report on Form 8-K contains certain statements that constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include, without limitation, any statement that may predict, forecast, indicate or imply future results, performance or achievements, and may contain the words "believe," "anticipate," "expect," "estimate," "project," "will be," "will continue," "will likely result" or words or phrases of similar meaning and include statements regarding the program, including the benefits thereof, the anticipated savings and reinvestment associated therewith, the estimated charges and future cash expenditures resulting therefrom and the timing of its implementation. Forward-looking statements involve risks and uncertainties which may cause actual results to differ materially from the forward-looking statements. The risks and uncertainties include, among others, the risk that the Company is not able to realize anticipated cost savings in the amounts or within the timeframes expected, or at all; risks related to the preliminary nature of the estimates of the charges to be incurred and future cash expenditures to be made in connection with the program, which may change in amount or timing as the Company refines the estimates over time; risks related to changes in the amount or timing of the Company’s anticipated reinvestment; risks related to delays in implementing the program, including as a result of local law requirements in various jurisdictions, or potential disruptions to the Company’s business, operations or workforce as it executes on the program; and other factors that may cause the Company to be unable to achieve the expected benefits of the program, as well as the risks and uncertainties detailed from time to time in reports filed by the Company with the Securities and Exchange Commission, including reports filed on Forms 8-K, 10-Q and 10-K. The Company disclaims any obligation to update any forward-looking statements contained herein, except as required by law.
Item 9.01 Financial Statements and Exhibits
(d) Exhibits.
The following exhibits are furnished with this Form 8-K:
| Exhibit No. | Exhibit | |||||||
| 99.1 | NIKE, Inc. Press Release dated | |||||||
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) | |||||||
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| NIKE, Inc. (Registrant) | |||||||||||
| Date: | October 1, 2026 | By: | /s/ David Denton | ||||||||
| David Denton | |||||||||||
| Executive Vice President and Chief Financial Officer | |||||||||||
| Investor Contact: | Media Contact: | |||||||
| Paul Trussell | Sandra Carreon-John | |||||||
| [email protected] | ||||||||
NIKE, INC. REPORTS FISCAL 2027 FIRST QUARTER RESULTS
•Sport Offense continued to drive momentum across priority sports
•Taking actions to reposition NIKE Sportswear, Jordan Brand, and Greater China
•Announces Pace, an operating model transformation to scale the success of the Sport Offense
BEAVERTON, Ore., Oct. 1, 2026 — NIKE, Inc. (NYSE:NKE) today reported fiscal 2027 financial results for its first quarter ended August 31, 2026.
Executive Commentary
"The Sport Offense is driving measurable progress across our performance business, and we introduced Pace to help us accelerate and scale that momentum across NIKE," said Elliott Hill, President and Chief Executive Officer, NIKE, Inc. "We have more work to do in NIKE Sportswear, Jordan Brand and Greater China, and we're taking deliberate actions to strengthen those businesses the right way for the long-term."
"We delivered first quarter results consistent with our expectations, supported by improved gross margin and disciplined cost management," said Dave Denton, Executive Vice President and Chief Financial Officer, NIKE, Inc. "As we move forward, we remain focused on strengthening the health of our product portfolio, improving productivity across the enterprise and allocating resources with discipline to support long-term shareholder value."
Overall Results
•First quarter revenues were $11.2 billion, down 4 percent on a reported basis and down 5 percent on a currency-neutral basis*
•Gross margin expanded 60 basis points to 42.8 percent
•Selling and administrative expense decreased 3 percent to $3.9 billion
•Diluted earnings per share was $0.48
First Quarter Income Statement Review
•Revenues for NIKE, Inc. were $11.2 billion, down 4 percent on a reported basis and down 5 percent on a currency-neutral basis.
◦NIKE Brand revenues were $11.0 billion, down 4 percent on a reported and currency-neutral basis, primarily due to declines in Greater China and EMEA, partially offset by growth in North America.
◦NIKE Brand wholesale revenues were $6.8 billion, down 1 percent on a reported and currency-neutral basis, primarily due to declines in Greater China, partially offset by growth in North America.
◦NIKE Direct revenues were $4.1 billion, down 8 percent on a reported basis and down 9 percent on a currency-neutral basis, due to a 13 percent decrease in NIKE Brand Digital and a 5 percent decrease in NIKE-owned stores.
◦Revenues for Converse were $263 million, down 28 percent on a reported and currency-neutral basis, due to declines across all territories.
•Gross margin expanded 60 basis points to 42.8 percent, primarily due to lower warehousing and logistics costs.
•Selling and administrative expense decreased 3 percent to $3.9 billion.
◦Demand creation expense was $1.3 billion, up 5 percent, primarily due to higher brand marketing expense, reflecting higher investment in key sports events.
◦Operating overhead expense was $2.7 billion, down 6 percent, primarily due to lower wage-related expense and lower other administrative costs.
•The effective tax rate was 22.7 percent compared to 21.1 percent for the same period last year, primarily due to foreign tax audit settlements recognized in the current year.
•Net income was $0.7 billion, down 2 percent, and Diluted earnings per share was $0.48.
August 31, 2026 Balance Sheet Review
•Inventories for NIKE, Inc. were $7.8 billion, down 3 percent, primarily reflecting shifts in product mix.
•Cash and equivalents and Short-term investments were $8.4 billion, down approximately $0.2 billion, as cash generated by operations was more than offset by cash dividends and capital expenditures.
Shareholder Returns
NIKE has a strong track record of returns to shareholders. In the first quarter, the Company returned approximately $610 million to shareholders through dividends, up 3 percent from the prior year.
Recent Developments
Pace is an operating model transformation to accelerate and scale the success of the Sport Offense. The program includes and builds upon the previous cost realignment plan announced in March 2026. Pace includes efforts to modernize NIKE's global supply chain, the establishment of a new campus in India to fuel its enterprise capabilities, a realignment to three geographies, and further streamlining of the organization to reduce costs.
NIKE expects Pace to deliver approximately $2.5 billion in cumulative savings through fiscal 2031, with approximately $1.0 billion of pre-tax charges, primarily consisting of employee-related costs, through fiscal 2031, in addition to approximately $0.3 billion of severance costs recognized in fiscal 2026. NIKE expects approximately $0.3 billion to be recognized in fiscal 2027.
The savings estimate is stated before the expected pre-tax charges described above and any future reinvestment. The expected savings, pre-tax charges and future cash expenditures are estimates and are subject to a number of assumptions, including local law requirements in various jurisdictions. Actual savings, charges and cash expenditures may differ, possibly materially, from these estimates.
Outlook
•Revenues are expected to decline high-single digits in fiscal 2027.
•Effective tax rate for fiscal 2027 is expected to be in the mid-20 percent range, subject to changes in earnings mix and discrete tax items.
•Adjusted Diluted earnings per share** is expected to be in the range of $1.15 to $1.35, which excludes approximately $0.15 of restructuring expenses related to Pace for fiscal 2027.
Conference Call
NIKE, Inc. management will host a conference call beginning at approximately 2:00 p.m. PT on October 1, 2026, to review fiscal first quarter results. The conference call will be broadcast live via the Internet and can be accessed at http://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, October 29, 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 http://investors.nike.com. Individuals can also visit http://news.nike.com and follow @NIKE.
Forward-Looking Statements
This press release contains forward-looking statements regarding our expectations of our future results and our strategy, including our fiscal 2027 outlook and the program, which involve risks and uncertainties that could cause actual results to differ materially. These risks and uncertainties include, among others, the risk that NIKE is not able to realize anticipated cost savings in the amounts or within the timeframes expected, or at all, risks related to the preliminary nature of the estimates of the charges to be incurred and future cash expenditures to be made in connection with the program and the possibility that those estimates may change in amount or timing as NIKE refines the estimates over time, risks related to any delays in the timing for implementing the program, including as a result of local law requirements, or potential disruptions to NIKE's business, operations or workforce as it executes on the program, and other factors that may cause NIKE to be unable to achieve the expected benefits of the program, as well as the risks and uncertainties 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 measure. See additional information in the accompanying Divisional Revenues and Channel Revenues tables. | ||||
| ** | Adjusted Diluted earnings per share is Diluted earnings per share excluding restructuring and severance charges, which is a non-GAAP financial measure. The most comparable GAAP measure is Diluted earnings per share. The Company uses Adjusted Diluted earnings per share to facilitate the evaluation of the Company's performance. The Company believes that providing Adjusted Diluted earnings per share is useful to investors for comparability between periods and allows investors to evaluate the impacts of restructuring and severance charges separately. 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. | ||||
(Tables Follow)
| NIKE, Inc. | |||||||||||
| CONSOLIDATED STATEMENTS OF INCOME | |||||||||||
| (Unaudited) | |||||||||||
| THREE MONTHS ENDED | % | ||||||||||
| (In millions, except per share data) | 8/31/2026 | 8/31/2025 | Change | ||||||||
| Revenues | $ | 11,213 | $ | 11,720 | -4 | % | |||||
| Cost of sales | 6,415 | 6,777 | -5 | % | |||||||
| Gross profit | 4,798 | 4,943 | -3 | % | |||||||
| Gross margin | 42.8 | % | 42.2 | % | 60 bps | ||||||
| Demand creation expense | 1,252 | 1,188 | 5 | % | |||||||
| Operating overhead expense | 2,658 | 2,828 | -6 | % | |||||||
| Total selling and administrative expense | 3,910 | 4,016 | -3 | % | |||||||
| % of revenues | 34.9 | % | 34.3 | % | 60 bps | ||||||
Interest (income) expense, net | (14) | (18) | — | ||||||||
| Other (income) expense, net | (19) | 23 | — | ||||||||
| Income before income taxes | 921 | 922 | 0 | % | |||||||
| Income tax expense | 209 | 195 | 7 | % | |||||||
| Effective tax rate | 22.7 | % | 21.1 | % | 160 bps | ||||||
| NET INCOME | $ | 712 | $ | 727 | -2 | % | |||||
| Earnings per common share: | |||||||||||
| Basic | $ | 0.48 | $ | 0.49 | |||||||
| Diluted | $ | 0.48 | $ | 0.49 | |||||||
| Weighted average common shares outstanding: | |||||||||||
| Basic | 1,483.6 | 1,476.6 | |||||||||
| Diluted | 1,484.2 | 1,479.0 | |||||||||
| Dividends declared per common share | $ | 0.410 | $ | 0.400 | |||||||
| NIKE, Inc. | |||||||||||
| CONSOLIDATED BALANCE SHEETS | |||||||||||
| (Unaudited) | |||||||||||
| % Change | |||||||||||
| (Dollars in millions) | 8/31/2026 | 8/31/2025 | |||||||||
| ASSETS | |||||||||||
| Current assets: | |||||||||||
| Cash and equivalents | $ | 6,903 | $ | 7,024 | -2 | % | |||||
| Short-term investments | 1,465 | 1,551 | -6 | % | |||||||
| Accounts receivable, net | 5,242 | 4,962 | 6 | % | |||||||
| Inventories | 7,846 | 8,114 | -3 | % | |||||||
| Prepaid expenses and other current assets | 2,217 | 2,247 | -1 | % | |||||||
| Total current assets | 23,673 | 23,898 | -1 | % | |||||||
| Property, plant and equipment, net | 4,887 | 4,861 | 1 | % | |||||||
| Operating lease right-of-use assets, net | 2,947 | 2,727 | 8 | % | |||||||
| Identifiable intangible assets, net | 259 | 259 | 0 | % | |||||||
| Goodwill | 240 | 240 | 0 | % | |||||||
| Deferred income taxes and other assets | 5,788 | 5,349 | 8 | % | |||||||
| TOTAL ASSETS | $ | 37,794 | $ | 37,334 | 1 | % | |||||
| LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||||||
| Current liabilities: | |||||||||||
| Current portion of long-term debt | $ | 2,000 | $ | — | 100 | % | |||||
| Accounts payable | 3,420 | 3,772 | -9 | % | |||||||
| Current portion of operating lease liabilities | 473 | 506 | -7 | % | |||||||
| Accrued liabilities | 5,338 | 5,927 | -10 | % | |||||||
| Income taxes payable | 178 | 706 | -75 | % | |||||||
| Total current liabilities | 11,409 | 10,911 | 5 | % | |||||||
| Long-term debt | 5,893 | 7,996 | -26 | % | |||||||
| Operating lease liabilities | 2,706 | 2,555 | 6 | % | |||||||
| Deferred income taxes and other liabilities | 2,566 | 2,404 | 7 | % | |||||||
| Redeemable preferred stock | — | — | — | ||||||||
| Shareholders' equity | 15,220 | 13,468 | 13 | % | |||||||
| TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ | 37,794 | $ | 37,334 | 1 | % | |||||
| NIKE, Inc. | ||||||||||||||
| DIVISIONAL REVENUES | ||||||||||||||
| (Unaudited) | ||||||||||||||
% Change Excluding Currency Changes1 | ||||||||||||||
| THREE MONTHS ENDED | % | |||||||||||||
| (Dollars in millions) | 8/31/2026 | 8/31/2025 | Change | |||||||||||
| North America | ||||||||||||||
| Footwear | $ | 3,259 | $ | 3,219 | 1 | % | 1 | % | ||||||
| Apparel | 1,566 | 1,474 | 6 | % | 6 | % | ||||||||
| Equipment | 302 | 327 | -8 | % | -8 | % | ||||||||
| Total | 5,127 | 5,020 | 2 | % | 2 | % | ||||||||
| Europe, Middle East & Africa | ||||||||||||||
| Footwear | 1,798 | 2,021 | -11 | % | -11 | % | ||||||||
| Apparel | 1,163 | 1,106 | 5 | % | 5 | % | ||||||||
| Equipment | 215 | 204 | 5 | % | 5 | % | ||||||||
| Total | 3,176 | 3,331 | -5 | % | -5 | % | ||||||||
| Greater China | ||||||||||||||
| Footwear | 866 | 1,109 | -22 | % | -26 | % | ||||||||
| Apparel | 279 | 362 | -23 | % | -27 | % | ||||||||
| Equipment | 35 | 41 | -15 | % | -18 | % | ||||||||
| Total | 1,180 | 1,512 | -22 | % | -26 | % | ||||||||
| Asia Pacific & Latin America | ||||||||||||||
| Footwear | 1,028 | 1,061 | -3 | % | -1 | % | ||||||||
| Apparel | 376 | 371 | 1 | % | 4 | % | ||||||||
| Equipment | 59 | 58 | 2 | % | 2 | % | ||||||||
| Total | 1,463 | 1,490 | -2 | % | 0 | % | ||||||||
Global Brand Divisions2 | 6 | 9 | — | — | ||||||||||
| TOTAL NIKE BRAND | 10,952 | 11,362 | -4 | % | -4 | % | ||||||||
| Converse | 263 | 366 | -28 | % | -28 | % | ||||||||
Corporate3 | (2) | (8) | — | — | ||||||||||
| TOTAL NIKE, INC. REVENUES | $ | 11,213 | $ | 11,720 | -4 | % | -5 | % | ||||||
| NIKE Brand Revenues by: | ||||||||||||||
| Footwear | $ | 6,951 | $ | 7,410 | -6 | % | -6 | % | ||||||
| Apparel | 3,384 | 3,313 | 2 | % | 2 | % | ||||||||
| Equipment | 611 | 630 | -3 | % | -3 | % | ||||||||
Global Brand Divisions2 | 6 | 9 | — | — | ||||||||||
| TOTAL NIKE BRAND REVENUES | $ | 10,952 | $ | 11,362 | -4 | % | -4 | % | ||||||
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 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. | ||||||||||||||
| CHANNEL REVENUES | ||||||||||||||
| (Unaudited) | ||||||||||||||
% Change Excluding Currency Changes1 | ||||||||||||||
| THREE MONTHS ENDED | % | |||||||||||||
| (Dollars in millions) | 8/31/2026 | 8/31/2025 | Change | |||||||||||
| North America | ||||||||||||||
| Sales to Wholesale Customers | $ | 2,981 | $ | 2,736 | 9 | % | 9 | % | ||||||
| Sales through NIKE Direct | 2,146 | 2,284 | -6 | % | -6 | % | ||||||||
| Total | 5,127 | 5,020 | 2 | % | 2 | % | ||||||||
| Europe, Middle East & Africa | ||||||||||||||
| Sales to Wholesale Customers | 2,233 | 2,261 | -1 | % | -1 | % | ||||||||
| Sales through NIKE Direct | 943 | 1,070 | -12 | % | -12 | % | ||||||||
| Total | 3,176 | 3,331 | -5 | % | -5 | % | ||||||||
| Greater China | ||||||||||||||
| Sales to Wholesale Customers | 644 | 893 | -28 | % | -31 | % | ||||||||
| Sales through NIKE Direct | 536 | 619 | -13 | % | -18 | % | ||||||||
| Total | 1,180 | 1,512 | -22 | % | -26 | % | ||||||||
| Asia Pacific & Latin America | ||||||||||||||
| Sales to Wholesale Customers | 946 | 949 | 0 | % | 2 | % | ||||||||
| Sales through NIKE Direct | 517 | 541 | -4 | % | -3 | % | ||||||||
| Total | 1,463 | 1,490 | -2 | % | 0 | % | ||||||||
Global Brand Divisions2 | 6 | 9 | — | — | ||||||||||
| TOTAL NIKE BRAND | 10,952 | 11,362 | -4 | % | -4 | % | ||||||||
| Converse | 263 | 366 | -28 | % | -28 | % | ||||||||
Corporate3 | (2) | (8) | — | — | ||||||||||
| TOTAL NIKE, INC. REVENUES | $ | 11,213 | $ | 11,720 | -4 | % | -5 | % | ||||||
| NIKE Brand Revenues by: | ||||||||||||||
| Sales to Wholesale Customers | $ | 6,804 | $ | 6,839 | -1 | % | -1 | % | ||||||
| Sales through NIKE Direct | 4,142 | 4,514 | -8 | % | -9 | % | ||||||||
Global Brand Divisions2 | 6 | 9 | — | — | ||||||||||
| TOTAL NIKE BRAND REVENUES | $ | 10,952 | $ | 11,362 | -4 | % | -4 | % | ||||||
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 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 ("EBIT")1 | |||||||||||
| (Unaudited) | |||||||||||
| THREE MONTHS ENDED | % | ||||||||||
| (Dollars in millions) | 8/31/2026 | 8/31/2025 | Change | ||||||||
| North America | $ | 1,170 | $ | 1,134 | 3 | % | |||||
| Europe, Middle East & Africa | 728 | 735 | -1 | % | |||||||
| Greater China | 248 | 377 | -34 | % | |||||||
| Asia Pacific & Latin America | 324 | 350 | -7 | % | |||||||
Global Brand Divisions2 | (1,110) | (1,192) | 7 | % | |||||||
TOTAL NIKE BRAND EBIT1 | 1,360 | 1,404 | -3 | % | |||||||
| Converse | 25 | 39 | -36 | % | |||||||
Corporate3 | (478) | (539) | 11 | % | |||||||
TOTAL NIKE, INC. EBIT1 | 907 | 904 | 0 | % | |||||||
| Interest (income) expense, net | (14) | (18) | — | ||||||||
| Income tax expense | 209 | 195 | 7 | % | |||||||
| NET INCOME | $ | 712 | $ | 727 | -2 | % | |||||
| Total NIKE, Inc. Revenues | $ | 11,213 | $ | 11,720 | -4 | % | |||||
| Net income margin | 6.3 | % | 6.2 | % | |||||||
EBIT margin1 | 8.1 | % | 7.7 | % | |||||||
1 Total NIKE Brand EBIT, Total NIKE, Inc. EBIT and EBIT margin are considered non-GAAP financial measures. EBIT is calculated as Net income before Interest (income) expense, net and Income tax expense. 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. Management uses these non-GAAP financial measures when evaluating the Company's performance, including segment performance, 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. | |||||||||||
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. | |||||||||||