NIKE has reported financial results for its fiscal 2022 fourth quarter and full year ended May 31, 2022.
In the latest fourth fiscal quarter, reported revenues were US$12.2 billion, down 1% year on year – although up 3% on a currency-neutral basis. NIKE Direct (direct to consumer) reported revenues for the fourth quarter were US$4.8 billion, up 7% compared to the prior year and up 11% on a currency-neutral basis.
Wholesale reported revenues for the fourth quarter were US$6.8 billion, down 7% compared to the prior year period and down 3% on a currency-neutral basis. Gross margin for the fourth quarter decreased 80 basis points to 45%.
For the full year, revenues for NIKE increased 5% to US$46.7 billion, up 6% on a currency- neutral basis. Revenues for the NIKE Brand were US$44.4 billion, up 5% on a reported basis and 6% on a currency-neutral basis. This was driven by double-digit growth in NIKE Direct, and partially offset by slight declines in wholesale revenues.
For the full year, NIKE Direct revenues were US$18.7 billion, up 14% on a reported basis and up 15% on a currency-neutral basis, led by NIKE Brand digital growth of 18% and NIKE-owned stores up 10%.
Announcing its results for its fiscal fourth quarter and full year, the company also announced that its board of directors has authorized a new four-year, US$18 billion program to repurchase shares of NIKE’s Class B Common Stock.
“NIKE’s results this fiscal year are a testament to the unmatched strength of our brands and our deep connection with consumers,” said John Donahoe, President and CEO at NIKE.
“Our competitive advantages, including our pipeline of innovative product and expanding digital leadership, prove that our strategy is working as we create value through our relentless drive to serve the future of sport.”
Fourth quarter NIKE Direct revenues grew 7% on a reported basis and 11% on a currency-neutral basis, led by 25% growth in EMEA, 43% growth in APLA and 5% growth in North America, partially offset by a decline in Greater China.
In the fourth quarter, NIKE Brand Digital grew 15% on a reported basis and 18% on a currency-neutral basis, driven by double digit growth in APLA, North America and EMEA. NIKE-owned stores declined 2% on a reported basis and increased 1% on a currency-neutral basis.
“In this dynamic environment, NIKE’s unrivalled strengths continue to fuel our momentum,” said Matt Friend, Executive Vice President and Chief Financial Officer at NIKE.
“Two years into executing our Consumer Direct Acceleration, we are better positioned than ever to drive long-term growth while serving consumers directly at scale.”
