Nike reported Q4 FY26 revenue down 1% (flat for FY26) and GAAP EPS of $0.72 (including a $986M tariff recovery benefit; ex-benefit EPS $0.20). Performance footwear (running, football) grew mid-single digits but sportswear and Jordan streetwear declined double digits. The company guided total revenue down low-to-mid single digits in Q1 FY27 with gross margins returning to slight expansion, and reaffirmed flattish earnings over the next two quarters. Management highlighted improving sell-through with Foot Locker (first positive comp in four years) and strong World Cup-driven product demand. FY26 reported revenue flat, EPS $2.10 (-3% YoY); Q4 revenue -1% (-4% c-neutral).
Buzzberg readRevenue expected down low to mid-single digitsNike reported Q4 FY26 revenue down 1% (flat for FY26) and GAAP EPS of $0.72 (including a $986M tariff recovery benefit; ex-benefit EPS $0.20). Performance footwear (running, football) grew mid-single digits but sportswear and Jordan streetwear declined double digits. The company guided total revenue down low-to-mid single digits in Q1 FY27 with gross margins returning to slight expansion, and reaffirmed flattish earnings over the next two quarters. Management highlighted improving sell-through with Foot Locker (first positive comp in four years) and strong World Cup-driven product demand. FY26 reported revenue flat, EPS $2.10 (-3% YoY); Q4 revenue -1% (-4% c-neutral).Read full analysisCollapse analysis
Nike reported Q4 FY26 revenue down 1% (flat for FY26) and GAAP EPS of $0.72 (including a $986M tariff recovery benefit; ex-benefit EPS $0.20). Performance footwear (running, football) grew mid-single digits but sportswear and Jordan streetwear declined double digits. The company guided total revenue down low-to-mid single digits in Q1 FY27 with gross margins returning to slight expansion, and reaffirmed flattish earnings over the next two quarters. Management highlighted improving sell-through with Foot Locker (first positive comp in four years) and strong World Cup-driven product demand. FY26 reported revenue flat, EPS $2.10 (-3% YoY); Q4 revenue -1% (-4% c-neutral).
Management struck a cautious tone, acknowledging macro headwinds and sportswear weakness, but expressed confidence in long-term strategy and structural improvements.
Demand
Demand
Bookings & conversion
Sportswear and Jordan streetwear negative in FY27. Management struck a cautious tone, acknowledging macro headwinds and sportswear weakness, but expressed confidence in long-term strategy and structural improvements.
Tone · cautious
Management struck a cautious tone, acknowledging macro headwinds and sportswear weakness, but expressed confidence in long-term strategy and structural improvements.
Supply-chain alpha
A1
Nike recognized a $986M one-time benefit from recovering IEPA tariffs already expensed, boosting Q4 gross margins by 900 bps and EPS by ~$0.52.
“In the fourth quarter, we determined that the financial recovery of claims related to incremental tariffs paid under IEPA had become probable. This resulted in the recognition of a one-time benefit of $986 million.”
Nike is aggressively cutting classic footwear inventory by $2B in FY26 and tightening future buys, signaling a deliberate shift to reduce promotional dependence and improve full-price sell-through.
Nike's new Mercurial football boot set a record as the fastest-selling 24-hour cleated footwear launch in Nike Direct history, driven by World Cup marketing.
“At launch, the Mercurial became the fastest selling 24-hour launch for cleated footwear in the history of Nike Direct.”
Nike is aggressively cutting classic footwear inventory by $2B in FY26 and tightening future buys, signaling a deliberate shift to reduce promotional dependence and improve full-price sell-through. — This inventory reduction will likely lower Nike's wholesale shipments near-term but should improve pricing power and channel health for retail partners like Foot Locker.
“Our revenue growth and retail sales comp with Foot Locker was positive for the first time in four years, and we continue to be encouraged about the path ahead.”
… double-digit growth in global football and running, as well as growth in kids and golf. Sportswear was down high single digits. Retail sales grew over the first six weeks of the quarter. However, we did see a deceleration in late April, which we continue to monitor closely, particularly in sportswear and Jordan streetwear. Wholesale revenue growth was driven by new and existing distribution. One highlight I'd like to note is that our revenue growth and retail sales comp with Foot Locker was positive for the first time in four years, and we continue to be encouraged about the path ahead. Inventory grew mid-single digits in line with our plans with a healthy closeout mix. And importantly, excluding the tariff refund benefit, underlying gross margin profitability continued to improve year over year. In EMEA, Q4 revenue was down 6%. Nike Direct declined 16% with Nike Digital down 24% and Nike Stores down 9%. Wholesale was down 1%. EBIT was down 8% on a reported basis. EMEA continues to work through heightened inventory and promotional levels, disruption in the Middle East, and a higher portfolio mix of sportswear than our other geographies. We had continued momentum in performance …
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