(Unaudited)
THREE MONTHS ENDED % TWELVE MONTHS ENDED %(In millions, except per share data) | 5/31/2026 | 5/31/2025 | Change | 5/31/2026 | 5/31/2025 | Change |
Revenues | $ 10,972 | $ 11,097 | -1% $ | 46,398 | $ 46,309 | 0% |
Cost of sales | 5,579 | 6,628 | -16% | 26,487 | 26,519 | 0% |
Gross profit | 5,393 | 4,469 | 21% | 19,911 | 19,790 | 1% |
Gross margin | 49.2 % | 40.3 % | 42.9 % | 42.7 % | ||
Demand creation expense | 1,203 | 1,253 | -4% | 4,754 | 4,689 | 1% |
Operating overhead expense | 2,879 | 2,895 | -1% | 11,360 | 11,399 | 0% |
Total selling and administrative expense | 4,082 | 4,148 | -2% | 16,114 | 16,088 | 0% |
% of revenues | 37.2 % | 37.4 % | 34.7 % | 34.7 % | ||
Interest (income) expense, net | (8) | (22) | - | (50) | (107) | - |
Other (income) expense, net | (10) | 25 | - | (53) | (76) | - |
Income before income taxes | 1,329 | 318 | 318% | 3,900 | 3,885 | 0% |
Income tax expense | 260 | 107 | 143% | 792 | 666 | 19% |
Effective tax rate | 19.6 % | 33.6 % | 20.3 % | 17.1 % | ||
NET INCOME | $ 1,069 | $ 211 | 407% $ | 3,108 | $ 3,219 | -3% |
Earnings per common share: | ||||||
Basic | $ 0.72 | $ 0.14 | 414% $ | 2.10 | $ 2.17 | -3% |
Diluted | $ 0.72 | $ 0.14 | 414% $ | 2.10 | $ 2.16 | -3% |
Weighted average common shares outstanding: | ||||||||
Basic | 1,482.6 | 1,476.7 | 1,479.8 | 1,484.9 | ||||
Diluted | 1,482.9 | 1,477.7 | 1,481.0 | 1,487.6 | ||||
Dividends declared per common share | $ | 0.410 | $ | 0.400 | $ | 1.630 | $ | 1.570 |
(Unaudited)
May 31, | May 31, | % | |
(Dollars in millions) | 2026 | 2025 | Change |
ASSETS | |||
Current assets: | |||
Cash and equivalents | $ 7,563 | $ 7,464 | 1% |
Short-term investments | 1,464 | 1,687 | -13% |
Accounts receivable, net | 5,931 | 4,717 | 26% |
Inventories | 7,501 | 7,489 | 0% |
Prepaid expenses and other current assets | 2,144 | 2,005 | 7% |
Total current assets | 24,603 | 23,362 | 5% |
Property, plant and equipment, net | 4,796 | 4,828 | -1% |
Operating lease right-of-use assets, net | 2,838 | 2,712 | 5% |
Identifiable intangible assets, net | 259 | 259 | 0% |
Goodwill | 240 | 240 | 0% |
Deferred income taxes and other assets | 5,674 | 5,178 | 10% |
TOTAL ASSETS | $ 38,410 | $ 36,579 | 5% |
LIABILITIES AND SHAREHOLDERS' EQUITY | |||
Current liabilities: | |||
Current portion of long-term debt | $ 2,000 | $ - | 100% |
Accounts payable | 3,600 | 3,479 | 3% |
Current portion of operating lease liabilities | 478 | 502 | -5% |
Accrued liabilities | 6,092 | 5,916 | 3% |
Income taxes payable | 377 | 669 | -44% |
Total current liabilities | 12,547 | 10,566 | 19% |
Long-term debt | 5,942 | 7,961 | -25% |
Operating lease liabilities | 2,613 | 2,550 | 2% |
Deferred income taxes and other liabilities | 2,443 | 2,289 | 7% |
Redeemable preferred stock | - | - | - |
Shareholders' equity | 14,865 | 13,213 | 13% |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ 38,410 | $ 36,579 | 5% |
(Unaudited)
THREE MONTHS ENDED %(Dollars in millions) 5/31/2026 5/31/2025 Change
% Change Excluding Currency Changes1 TWELVE MONTHS ENDED % 5/31/2026 5/31/2025 Change % Change Excluding Currency Changes1North America | ||||||||
Footwear | $ 3,230 | $ 3,104 | 4% | 4% $ | 13,317 | $ 12,684 | 5% | 5% |
Apparel | 1,310 | 1,303 | 1% | 0% | 6,075 | 5,837 | 4% | 4% |
Equipment | 292 | 296 | -1% | -2% | 1,119 | 1,051 | 6% | 6% |
Total | 4,832 | 4,703 | 3% | 3% | 20,511 | 19,572 | 5% | 5% |
Europe, Middle East & Africa | ||||||||
Footwear | 1,821 | 1,893 | -4% | -9% | 7,643 | 7,569 | 1% | -5% |
Apparel | 982 | 929 | 6% | 0% | 4,210 | 3,971 | 6% | 0% |
Equipment | 172 | 178 | -3% | -9% | 719 | 717 | 0% | -6% |
Total | 2,975 | 3,000 | -1% | -6% | 12,572 | 12,257 | 3% | -3% |
Greater China | ||||||||
Footwear | 938 | 1,074 | -13% | -17% | 4,188 | 4,805 | -13% | -15% |
Apparel | 334 | 372 | -10% | -15% | 1,535 | 1,616 | -5% | -7% |
Equipment | 25 | 30 | -17% | -21% | 124 | 165 | -25% | -26% |
Total | 1,297 | 1,476 | -12% | -17% | 5,847 | 6,586 | -11% | -13% |
Asia Pacific & Latin America | ||||||||
Footwear | 1,114 | 1,114 | 0% | -2% | 4,377 | 4,452 | -2% | -3% |
Apparel | 420 | 398 | 6% | 4% | 1,629 | 1,541 | 6% | 5% |
Equipment | 62 | 63 | -2% | -3% | 237 | 258 | -8% | -9% |
Total | 1,596 | 1,575 | 1% | -1% | 6,243 | 6,251 | 0% | -1% |
Global Brand Divisions2 | 24 | 9 | 167% | 150% | 49 | 48 | 2% | 2% |
TOTAL NIKE BRAND3 | 10,724 | 10,763 | 0% | -3% | 45,222 | 44,714 | 1% | -1% |
Converse | 244 | 357 | -32% | -34% | 1,174 | 1,692 | -31% | -32% |
Corporate4 | 4 | (23) | - | - | 2 | (97) | - | - |
TOTAL NIKE, INC. REVENUES | $ 10,972 | $ 11,097 | -1% | -4% $ | 46,398 | $ 46,309 | 0% | -2% |
TOTAL NIKE BRAND3 | ||||||||
Footwear | $ 7,103 | $ 7,185 | -1% | -4% $ | 29,525 | $ 29,510 | 0% | -2% |
Apparel | 3,046 | 3,002 | 1% | -1% | 13,449 | 12,965 | 4% | 2% |
Equipment | 551 | 567 | -3% | -5% | 2,199 | 2,191 | 0% | -2% |
Global Brand Divisions2 | 24 | 9 | 167% | 150% | 49 | 48 | 2% | 2% |
TOTAL NIKE BRAND REVENUES3 | $ 10,724 | $ 10,763 | 0% | -3% $ | 45,222 | $ 44,714 | 1% | -1% |
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 Included in NIKE Brand revenues are sales of Jordan Brand products which were $7,034 million in fiscal 2026 compared to $7,270 million in fiscal 2025, down 3% on a reported basis and down 5% on a currency-neutral basis.
4 Corporate revenues primarily consist of foreign currency hedge 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.
EARNINGS BEFORE INTEREST AND TAXES ("EBIT")1(Unaudited)
THREE MONTHS ENDED % TWELVE MONTHS ENDED %(Dollars in millions) | 5/31/2026 | 5/31/2025 | Change | 5/31/2026 | 5/31/2025 | Change |
North America2 | $ 2,000 | $ 1,045 | 91% $ | 5,376 | $ 4,735 | 14% |
Europe, Middle East & Africa | 434 | 472 | -8% | 2,417 | 2,575 | -6% |
Greater China | 243 | 304 | -20% | 1,278 | 1,602 | -20% |
Asia Pacific & Latin America | 316 | 319 | -1% | 1,387 | 1,527 | -9% |
Global Brand Divisions3 | (1,130) | (1,246) | 9% | (4,603) | (4,699) | 2% |
TOTAL NIKE BRAND EBIT1 | 1,863 | 894 | 108% | 5,855 | 5,740 | 2% |
Converse2 | 23 | 27 | -15% | 18 | 240 | -93% |
Corporate4 | (565) | (625) | 10% | (2,023) | (2,202) | 8% |
TOTAL NIKE, INC. EBIT1 | 1,321 | 296 | 346% | 3,850 | 3,778 | 2% |
Interest (income) expense, net | (8) | (22) | - | (50) | (107) | - |
Income tax expense | 260 | 107 | 143% | 792 | 666 | 19% |
NET INCOME | $ 1,069 | $ 211 | 407% $ | 3,108 | $ 3,219 | -3% |
Total NIKE, Inc. Revenues | $ 10,972 | $ 11,097 | -1% $ | 46,398 | $ 46,309 | 0% |
Net income margin | 9.7 % | 1.9 % | 6.7 % | 7.0 % | ||
EBIT margin1 | 12.0 % | 2.7 % | 8.3 % | 8.2 % |
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 On February 20, 2026, the U.S. Supreme Court ruled that U.S. tariffs imposed under the International Emergency Economic Powers Act ("IEEPA") on goods imported into the U.S. were unauthorized. During the fourth quarter of fiscal 2026, the Company deemed the recovery of IEEPA tariffs paid to be probable. For the three and twelve months ended May 31, 2026, North America and Converse include a $965 million and $21 million benefit, respectively, for the expected recovery of the IEEPA tariffs paid on goods imported into the U.S. For the twelve months ended May 31, 2026, the benefit largely offsets the impact of the IEEPA tariffs recognized during fiscal 2026.
3 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.
4 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.