Overview
- Nike posted fiscal Q1 2027 results after the close on Thursday, Oct. 1, 2026 with diluted EPS of $0.48, net sales of $11.2 billion and net income of $712 million, beating profit estimates but missing revenue forecasts.
- The company warned that full-year revenue will fall by a high-single-digit percentage and guided adjusted EPS to $1.15–$1.35 for fiscal 2027, a signal that management expects sales pressure to persist this year.
- Nike announced a multi-year restructuring called Pace that aims for roughly $2.5 billion in cumulative savings through fiscal 2031 and includes about $1.0 billion of pre-tax employee-related charges plus additional severance costs recognized across 2026 and 2027.
- Pace will cut roles beginning in calendar 2027, consolidate Nike’s reporting from four geographies to three, and create a new corporate campus in Bengaluru, India to centralize capabilities.
- Greater China remains a major drag with sales down about 22% to roughly $1.2 billion and lower-than-expected regional EBIT, while the quarter showed some operational gains with gross margin of about 42.8% and inventories trimmed to roughly $7.8 billion as investors judge execution and demand recovery.