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Feb 29, 2020

Nike Q3 2020 Earnings Report

Nike's Q3 2020 results were released, showcasing revenue growth despite challenges in Greater China due to COVID-19.

Key Takeaways

NIKE reported a 5% increase in revenue to $10.1 billion, driven by digital sales growth and strong performance in EMEA, APLA, and North America, although Greater China revenues were impacted by COVID-19. Diluted earnings per share were $0.53, which included a $0.25 non-recurring charge.

Revenues increased by 5% to $10.1 billion, or 7% on a currency-neutral basis.

Digital sales rose 36% compared to the previous year.

Diluted earnings per share were $0.53, which included a $0.25 non-recurring charge.

Greater China revenues decreased by 4% due to COVID-19 impacts.

Total Revenue
$10.1B
Previous year: $9.61B
+5.1%
EPS
$0.78
Previous year: $0.68
+14.7%
Gross Margin
44.3%
Previous year: 45.1%
-1.8%
Demand Creation Expense
$870M
Previous year: $865M
+0.6%
Operating Overhead Expense
$2.41B
Previous year: $2.23B
+8.4%
Gross Profit
$4.47B
Previous year: $4.34B
+3.1%
Cash and Equivalents
$2.86B
Previous year: $3.7B
-22.5%
Free Cash Flow
$905M
Previous year: $852M
+6.2%
Total Assets
$26.2B
Previous year: $22.9B
+14.4%

Nike

Nike

Nike Revenue by Segment

Nike Revenue by Geographic Location

Forward Guidance

NIKE is executing against an operational playbook that will expedite NIKE’s return to profitable, capital efficient growth leveraging our strong financial position, the strongest partnerships across the value chain in our industry, and our leading digital capabilities.

Revenue & Expenses

Visualization of income flow from segment revenue to net income