Nike Beats Q4 Revenue Estimates but China Sales Drop 12%
Nike (NKE) reported Q4 fiscal 2025 revenue of $11 billion, surpassing analyst estimates of $10.85 billion. However, a 12% decline in China sales overshadowed the earnings beat, causing the stock to fall in after-hours trading.
Key Numbers
Nike (NKE) reported fiscal fourth-quarter revenue of $11 billion, beating analyst expectations of $10.85 billion. However, a 12% decline in China sales overshadowed the earnings beat, sending shares lower in after-hours trading.
Key Financial Results
| Metric | Value | Estimate |
|---|---|---|
| Revenue | $11B | $10.85B |
| China Sales | -12% YoY | — |
Net income and earnings per share were not disclosed in this report.
Highlights from the Release
Nike attributed the China sales decline to weak consumer demand in the region amid ongoing economic challenges. Nonetheless, overall revenue exceeded expectations, indicating strength in other markets.
Guidance
The company did not provide specific guidance for the upcoming quarter in this release.
Impact on Stock
Nike shares fell in after-hours trading following the announcement, as investors focused on the China sales decline rather than the revenue beat. The drop reflects concerns about growth prospects in the Chinese market.
What This Means for Investors
Despite the revenue beat, continued weakness in China sales poses a risk to Nike's long-term growth. Investors should monitor demand trends in China and the company's strategy to address challenges there.
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