The numbers
$11.1 billion — Nike’s Q4 2025 full year revenue, down 12% year-over-year. Revenues for the flagship Nike brand were down 11% to $10.8 billion.
$46.3 billion — Nike’s full 2025 fiscal year revenue, down 10% year-over-year.
$6.4 billion — The sneaker giant’s wholesale revenue for Q4, which decreased 9% year-over-year. Its full-year wholesale revenue was $25.9 billion, down 7% year-over-year.
$4.4 billion — The brand’s direct revenue for the quarter, which fell 14% year-over-year. Direct revenue for the full year was $18.8 billion, down 13% year-over-year.
$357 million — Converse’s revenue for the quarter. This declined 26% year-over-year, while its revenue for 2025 was $1.7 billion, down 19% year-over-year.
Watercooler talk
While Nike’s full-year financial results were “not where we want them to be,” president and chief executive officer (CEO) Elliott Hill said the brand’s next step is to shift its focus from lifestyle marketing to performance wear through a new strategy called “Sport Offense.”
The new push will drive distinction within its key sports, such as running, training, and basketball, through storytelling marketing efforts. It will also work in tandem with “Win Action,” a strategy Hill implemented when he rejoined the company in October 2024.
“We will differentiate each brand (Nike, Jordan Brand, and Converse) by sport, which we believe will create sharper distinction and dimension,” said Hill. “We do know [that] when we focus on sport, we win.”
The exec referenced tennis player Carlos Alcaraz’s French Open win, runner Faith Kipyegon’s record-attempting mile run, and Oklahoma City Thunder player and Converse ambassador Shai Gilgeous-Alexander’s recent NBA Finals win as key sports moments that the brand has invested in to re-center athletes and “win back our brand voice.”
Hill also pointed to key product launches like Las Vegas Aces player A’ja Wilson’s signature shoe, which sold out in three minutes, as a key driver for its women’s basketball business this past quarter.
While its wholesale efforts have been a “strong indicator of the progress” for “Win Now,” the exec said that for this next phase, the brand is in the process of hiring retail marketers, merchandisers and account managers.
Regarding tariffs, the imposed taxes represent a “new and meaningful cost headwind,” said Matthew Friend, Nike’s chief financial officer (CFO).
To mitigate its projected “$1 billion tariff impact,” Friend said that the company will shift production to other countries.
He also said that while China represents nearly 16% of Nike’s imported footwear to the U.S., the brand expects that number to reduce to the “high single-digit range” by the end of its 2026 fiscal year next summer.
