Nike closed its fourth fiscal quarter with net profit of $1.1 billion, a fivefold increase from $211 million a year earlier, after the company recovered tariffs previously paid under the International Emergency Economic Powers Act. The one-time windfall, booked as extraordinary income, propelled earnings per share to 72 cents, well above the 12 cents analysts had projected. Revenue reached $10.97 billion, a 1% decline from the prior year but ahead of consensus estimates. The results, released after the New York market close, sent shares up 2.3% in after-hours trading, though the stock remains down roughly 36% for the year.

The headline numbers mask a sharp regional divergence. North American sales rose 3% to $4.83 billion, narrowly missing analyst expectations but confirming a return to growth in the company’s largest market. Greater China, by contrast, saw revenue drop 12% to $1.3 billion, as local competitors such as Anta continued to gain share and Nike worked through excess inventory. The digital channel and company-owned stores weakened, while the wholesale segment proved more resilient. For the full fiscal year, group revenue was essentially flat at $46.4 billion, and net profit slipped 3% to $3.1 billion.

Chief Executive Elliott Hill, who returned from retirement in late 2024, has reoriented the company around individual sports categories and is rebuilding ties with wholesale partners after a costly over-pivot to direct-to-consumer sales. More than 2,000 jobs have been cut this year to streamline operations. Hill acknowledged that the restructuring is taking longer than anticipated, telling the Financial Times that “the treatment is working” but may require a higher dose. The ongoing FIFA World Cup, hosted across North America, is a critical test for the brand’s “Rip the Script” marketing push, designed to reclaim cultural and athletic relevance.

Viewed from Latin American financial centres, where Nike’s locally traded certificates have been among the hardest-hit consumer stocks, the results offer tentative evidence that the turnaround is gaining traction. Yet the persistent weakness in China and the one-off nature of the tariff gain leave investors cautious. The next milestone is the shareholder update promised for November, when Hill is expected to detail further efficiency measures and progress in stabilising the Chinese business.