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Nov 30, 2024

Nike Q2 2025 Earnings Report

NIKE, Inc. reported fiscal 2025 second quarter results with revenues down and diluted earnings per share decreased.

Key Takeaways

NIKE, Inc. reported second quarter fiscal 2025 revenues of $12.4 billion, a decrease of 8 percent compared to the prior year. Diluted earnings per share was $0.78, down 24 percent. The company is taking actions to reposition its business and reignite brand momentum through sport.

Second quarter revenues were $12.4 billion, down 8 percent on a reported basis.

NIKE Direct revenues were $5.0 billion, down 13 percent on a reported basis.

Diluted earnings per share was $0.78, a decrease of 24 percent.

Gross margin decreased 100 basis points to 43.6 percent.

Total Revenue
$12.4B
Previous year: $13.4B
-7.7%
EPS
$0.78
Previous year: $1.03
-24.3%
Gross Margin
43.6%
Previous year: 44.6%
-2.2%
Demand Creation Expense
$1.12B
Previous year: $1.11B
+0.7%
Operating Overhead Expense
$2.88B
Previous year: $3.03B
-4.9%
Gross Profit
$5.39B
Previous year: $5.97B
-9.7%
Cash and Equivalents
$7.98B
Previous year: $7.92B
+0.8%
Free Cash Flow
$920M
Previous year: $2.61B
-64.8%
Total Assets
$38B
Previous year: $37.2B
+2.0%

Nike

Nike

Nike Revenue by Segment

Nike Revenue by Geographic Location

Forward Guidance

NIKE is taking immediate action to reposition its business and reignite brand momentum through sport. They are focusing on returning sport to the center of everything they do and driving long-term shareholder value.

Positive Outlook

  • Repositioning the business to focus on sport.
  • Reigniting brand momentum.
  • Driving long-term shareholder value.
  • Team is ready to execute strategy.
  • Focus on returning sport to the center of everything they do.

Challenges Ahead

  • Second quarter revenues down 8 percent.
  • NIKE Direct revenues down 13 percent.
  • Diluted earnings per share down 24 percent.
  • Gross margin decreased 100 basis points.
  • NIKE Brand Digital revenues decreased 21 percent.

Revenue & Expenses

Visualization of income flow from segment revenue to net income