Nike has reported a decline in sales for the third quarter, but management said the company is still on the right path as it continues to execute its strategic priorities.
For the three months ended February 28, revenues were down 9 per cent year-on-year to $11.3 billion, with direct-to-consumer sales down 12 per cent and wholesale sales down 7 per cent.
Sales of the Nike brand fell 9 per cent to $10.9 billion while Converse slid 18 per cent to $10.9 billion.
All regions recorded contraction in sales, with North America down 15 per cent, EMEA down 19 per cent, Greater China down 26 per cent, and Apac & Latin America down 14 per cent.
On the bottom line, net income dropped 32 per cent to $0.8 billion.
“The progress we made against the ‘Win Now’ strategic priorities we committed to 90 days ago reinforces my confidence that we are on the right path,” said Elliott Hill, president and CEO.
“What’s encouraging is Nike made an impact this quarter leading with sport – through athlete storytelling, performance products and big sport moments.”
During an earnings call, CFO Matthew Friend said he expects fourth-quarter revenue to decline in the mid-teens percentage range.
“The operating environment is dynamic, but what matters most for Nike is serving athletes with new product innovation and re-igniting brand momentum through sport,” added Hill.
