Nike on Thursday warned that sales will drop by a double digit percentage in its current quarter as the sneaker giant contends with new tariffs, sliding consumer confidence and a slower than expected turnaround.
In a conference call with analysts, finance chief Matt Friend said Nike expects its sales decline in the fiscal fourth quarter, which is set to end in May, to be at the “low end” of the “mid-teens range.” It also anticipates its gross margin will fall between 4 and 5 percentage points as it ramps up efforts to liquidate excess inventory and stale styles that are no longer resonating with consumers — a process it expects to continue into fiscal 2026.
“We believe that the fourth quarter will reflect the largest impact from our … actions, and that the headwinds to revenue and gross margin will begin to moderate from there,” said Friend. “We are also navigating through several external factors that create uncertainty in the…
