Nike Misses on $11.21 Billion Revenue as Mbappé Exit Deepens Turnaround Strain
Updated
Updated · BBC.com · Oct 1
Nike Misses on $11.21 Billion Revenue as Mbappé Exit Deepens Turnaround Strain
3 articles · Updated · BBC.com · Oct 1
Summary
$11.21 billion in quarterly revenue missed analysts' estimates, and Nike said sales should fall by a high-single-digit percentage this fiscal year as its turnaround remains slow.
Mbappé's departure to Swiss rival On, ending a 20-year Nike relationship, added to concerns that the brand is losing pull with elite athletes and the fans who follow them.
Analysts and academics tied the slide to strategic mistakes under former CEO John Donahoe, including pulling back from retailers, broadening limited-edition releases and shifting R&D toward digital operations over product innovation.
Nike's shares have dropped 75% over five years, the company was removed from the S&P 100 last month, and its new savings plan targets $2.5 billion by 2031 with layoffs starting in 2027.