Nike

NKE Q3 2025 Earnings

Reported Mar 20, 2025 at 4:16 PM ET · SEC Source

Q3 25 EPS

$0.54

BEAT +94.88%

Est. $0.28

Q3 25 Revenue

$11.27B

BEAT +2.13%

Est. $11.03B

vs S&P Since Q3 25

-61.0%

TRAILING MARKET

NKE -33.2% vs S&P +27.8%

Market Reaction

Did NKE Beat Earnings? Q3 2025 Results

Nike posted a sharply better-than-expected fiscal Q3 2025, delivering earnings per share of $0.54 against a Wall Street consensus of $0.28, a 94.88% beat, while revenue of $11.27 billion edged past estimates by 2.13%, though both metrics reflected an… Read more Nike posted a sharply better-than-expected fiscal Q3 2025, delivering earnings per share of $0.54 against a Wall Street consensus of $0.28, a 94.88% beat, while revenue of $11.27 billion edged past estimates by 2.13%, though both metrics reflected an underlying business still working through a difficult transition. Revenue fell 9% year-over-year to $11.27 billion, with declines across every geographic segment, led by a steep 17% drop in Greater China to $1.73 billion. The headline EPS outperformance was meaningfully shaped by a one-time non-cash deferred tax benefit that drove the effective tax rate down to 5.9% from 16.5% a year ago, while gross margin contracted 330 basis points to 41.5% under pressure from higher discounts and elevated inventory costs. CEO Elliott Hill's 'Win Now' strategy, centered on performance product innovation and sport-led brand storytelling, is still in its early stages, and CFO Matthew Friend reaffirmed the second-half outlook while acknowledging a dynamic operating environment, signaling that a meaningful recovery remains a longer-term proposition.

Key Takeaways

  • Revenue declines across all geographies and channels
  • Gross margin contraction of 330 basis points driven by higher discounts, inventory obsolescence reserves, and higher product costs
  • Lower effective tax rate of 5.9% due to one-time non-cash deferred tax benefit from finalized US tax regulations
  • NIKE Brand Digital revenues declined 15%
  • Greater China was the weakest geography with 17% revenue decline
  • Demand creation expense increased 8% due to higher brand marketing spend
  • Operating overhead decreased 13% partly due to prior year restructuring charges of $340 million
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NKE YoY Financials

Q3 2025 vs Q3 2024, source: SEC Filings

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NKE Revenue by Segment

With YoY comparisons, source: SEC Filings

Q3 25 Q4 26
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NKE Revenue by Geography

With YoY comparisons, source: SEC Filings

Q3 25 Q4 26

“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.”

— Elliott Hill, Q3 2025 Earnings Press Release