Nike (NKE) NKE Q2 Financial Results Summary
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NIKE, Inc. (NKE) Q2 2026 Financial Results Summary
Release Date: December 18, 2025
NIKE, Inc. (NYSE: NKE) reported its fiscal 2026 financial results for the second quarter ended November 30, 2025. Here’s a summary of key performance metrics and financial highlights:
Financial Highlights:
- Total Revenues: $12.4 billion
- Increased by 1% (reported basis); 0% (currency-neutral basis)
- NIKE Brand Revenues: $12.1 billion
- Increased by 1% (reported and currency-neutral basis)
- Wholesale Revenues: $7.5 billion
- Increased by 8% (reported and currency-neutral basis)
- NIKE Direct Revenues: $4.6 billion
- Decreased by 8% (reported basis) and 9% (currency-neutral basis)
- Gross Margin: 40.6%
- Decreased by 300 basis points from the previous year
- Net Income: $0.8 billion
- Decreased by 32% compared to the same quarter A year ago
- Diluted Earnings Per Share (EPS): $0.53
- Decreased by 32% from the previous year’s quarter
Income Statement Review:
- Revenues:
- NIKE Brand:
- Primary growth in North America, decline in Greater China and APLA regions
- Wholesale: Growth primarily due to North America
- NIKE Direct:
- Contributed to a 14% decrease in NIKE Brand Digital, and 3% decrease in NIKE-owned stores
-
Converse Revenues: $300 million, down 30% reported basis, and 31% currency-neutral
-
Gross Margin:
-
Decreased mainly due to higher North American tariffs
-
Selling and Administrative Expenses:
- Increased 1% to $4.0 billion
- Demand creation expense: $1.3 billion, up 13%
-
Operating overhead expense: $2.8 billion, down 4%
-
Effective Tax Rate:
- 20.7%, compared to 17.9% from the previous year
Balance Sheet Review as of November 30, 2025:
- Inventories: $7.7 billion, decreased by 3%
- Cash and Equivalents: $8.3 billion, decreased by approximately $1.4 billion primarily due to dividends, bond repayment, and capital expenditures
Shareholder Returns:
- Quarterly Dividend: Declared $0.410 per common share, increasing by 2.5% from the previous year’s dividend of $0.400
- Total Shareholder Returns: Approximately $598 million returned through dividends, up 7% from the prior year
Conference Call:
- Management will host a conference call at approximately 2:00 p.m. PT on December 18, 2025, to further discuss fiscal second quarter results. It will be accessible online for interested investors.
Summary:
The second quarter report reflects a mixed performance with slight revenue growth but significant reductions in net income and earnings per share. The company faced challenges in its direct sales and the Greater China market but showed resilience through wholesale channels. The increase in dividends signifies ongoing commitment to shareholder returns despite overall financial pressures.
For more detailed financial information, please visit NIKE’s Investor Relations page.
Here are the extracted tables from the press release:
NIKE, Inc. CONSOLIDATED STATEMENTS OF INCOME
(In millions, except per share data)
| THREE MONTHS ENDED | % | SIX MONTHS ENDED | % | |||
|---|---|---|---|---|---|---|
| 11/30/2025 | 11/30/2024 | Change | 11/30/2025 | 11/30/2024 | Change | |
| Revenues | $12,427 | $12,354 | 1% | $24,147 | $23,943 | 1% |
| Cost of sales | $7,382 | $6,965 | 6% | $14,159 | $13,297 | 6% |
| Gross profit | $5,045 | $5,389 | -6% | $9,988 | $10,646 | -6% |
| Gross margin | 40.6% | 43.6% | 41.4% | 44.5% | ||
| Demand creation expense | $1,273 | $1,122 | 13% | $2,461 | $2,348 | 5% |
| Operating overhead expense | $2,766 | $2,883 | -4% | $5,594 | $5,705 | -2% |
| Total selling and administrative expense | $4,039 | $4,005 | 1% | $8,055 | $8,053 | 0% |
| % of revenues | 32.5% | 32.4% | 33.4% | 33.6% | ||
| Interest (income) expense, net | -$9 | -$24 | — | -$27 | -$67 | — |
| Other (income) expense, net | $16 | -$8 | — | $39 | -$63 | — |
| Income before income taxes | $999 | $1,416 | -29% | $1,921 | $2,723 | -29% |
| Income tax expense | $207 | $253 | -18% | $402 | $509 | -21% |
| Effective tax rate | 20.7% | 17.9% | 20.9% | 18.7% | ||
| NET INCOME | $792 | $1,163 | -32% | $1,519 | $2,214 | -31% |
| Earnings per common share: | ||||||
| Basic | $0.54 | $0.78 | -31% | $1.03 | $1.48 | -30% |
| Diluted | $0.53 | $0.78 | -32% | $1.03 | $1.48 | -30% |
| Weighted average common shares outstanding: | ||||||
| Basic | 1,479.5 | 1,486.8 | 1,478.1 | 1,492.3 | ||
| Diluted | 1,481.0 | 1,490.0 | 1,480.0 | 1,495.9 | ||
| Dividends declared per common share | $0.410 | $0.400 | $0.810 | $0.770 |
NIKE, Inc. CONSOLIDATED BALANCE SHEETS
(Dollars in millions)
| November 30, 2025 | November 30, 2024 | % Change | |
|---|---|---|---|
| ASSETS | |||
| Current assets: | |||
| Cash and equivalents | $6,974 | $7,979 | -13% |
| Short-term investments | $1,371 | $1,782 | -23% |
| Accounts receivable, net | $5,738 | $5,302 | 8% |
| Inventories | $7,726 | $7,981 | -3% |
| Prepaid expenses and other current assets | $2,206 | $1,936 | 14% |
| Total current assets | $24,015 | $24,980 | -4% |
| Property, plant and equipment, net | $4,843 | $4,857 | 0% |
| Operating lease right-of-use assets, net | $2,894 | $2,736 | 6% |
| Identifiable intangible assets, net | $259 | $259 | 0% |
| Goodwill | $240 | $240 | 0% |
| Deferred income taxes and other assets | $5,536 | $4,887 | 13% |
| TOTAL ASSETS | $37,787 | $37,959 | 0% |
| LIABILITIES AND SHAREHOLDERS’ EQUITY | |||
| Current liabilities: | |||
| Current portion of long-term debt | $999 | $1,000 | 0% |
| Notes payable | $— | $49 | -100% |
| Accounts payable | $3,717 | $3,255 | 14% |
| Current portion of operating lease liabilities | $513 | $481 | 7% |
| Accrued liabilities | $5,919 | $5,694 | 4% |
| Income taxes payable | $492 | $767 | -36% |
| Total current liabilities | $11,640 | $11,246 | 4% |
| Long-term debt | $7,016 | $7,973 | -12% |
| Operating lease liabilities | $2,754 | $2,562 | 7% |
| Deferred income taxes and other liabilities | $2,292 | $2,141 | 7% |
| Redeemable preferred stock | $— | $— | — |
| Shareholders’ equity | $14,085 | $14,037 | 0% |
| TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $37,787 | $37,959 | 0% |