Nike Posts $11.2 Billion Q1 Revenue Miss Despite EPS Beat CEO Elliott Hill’s Turnaround Plan Faces Headwinds in China and Sportswear
Nike reported fiscal Q1 2027 revenue of $11.21 billion on October 1, 2026; a 4% year-over-year decline that missed analyst expectations of $11.32 billion. CNBC
Diluted EPS of $0.48 beat the $0.43 consensus, while gross margin improved 60 basis points to 42.8%, offering modest structural encouragement amid continued top-line pressure.
The results exposed stark regional divergence. North America grew 2%, but Greater China plunged 26% as digital channel consolidation and inventory cleanup weighed heavily.
EMEA fell 5%, while Asia Pacific and Latin America were flat. Within product lines, Dunk sales were cut nearly 50% and Jordan Brand revenue declined mid-teens as Nike deliberately reduces retro release frequency to protect brand equity.
CEO Elliott Hill acknowledged that Nike’s growing performance categories; running rose double-digits, women’s basketball signature products grew approximately 500% since FY2022, are not yet large enough to offset sportswear headwinds.
Nike’s Pace Productivity Program targets $2.5 billion in savings but carries $1 billion in implementation costs. Full-year FY2027 revenue is now expected to decline at a high-single-digit rate.
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