US Stock Movement | Nike (NKE.US) drops over 14% in the fourth quarter, with Greater China sales expected to decline by 20%

Zhitong Finance APP learned that on Wednesday, Nike (NKE.US) fell more than 14%, to $45.27. Nike’s fiscal 2026 Q3 earnings report showed that revenue for the quarter was $11.3 billion, flat year over year (down 3% year over year on a constant-currency basis), which was better than market expectations. Net profit was $520 million, down 35% year over year. Gross margin continued to contract for the sixth consecutive quarter, down 130 basis points year over year to 40.2%. The company said this was mainly driven by rising North American tariffs. The company’s weak guidance issued for fourth-quarter performance—especially its pessimistic outlook for the Greater China market—triggered widespread concern among investors.

Nike Chief Financial Officer Matthew Friend said the company expects total revenue for the fourth fiscal quarter, starting in March, to decline 2% to 4%. Among them, sales in Greater China are expected to drop sharply by about 20% year over year, mainly due to the order cut and accelerated market clearance mentioned in the previous quarter, which the market also views as a key factor weighing on overall performance expectations.