Edwyn
Over the five-year period, Nike’s revenue shows an overall upward trend in the earlier years, growing from USD 44.5 billion in 2021 to a peak of around USD 51.4 billion by 2024. This growth is accompanied by rising gross profit, which increased from approximately USD 20.0 billion in 2021 to about USD 22.9 billion in 2024, maintaining a gross margin in the mid-40% range. Notably, while the years 2021 through 2024 generally display steady performance with moderate revenue acceleration (for instance, a roughly 9.6% jump between 2022 and 2023), the data also reveal periods of net income volatility. Net income grew modestly from USD 5.73 billion in 2021 to USD 6.05 billion in 2022, then dipped to approximately USD 5.07 billion in 2023 before recovering slightly to USD 5.70 billion in 2024. However, 2025 marks a significant downturn, with revenue declining by about 10% from 2024 and net income plunging by nearly 44% to around USD 3.22 billion. Although no individual year-over-year change exceeds a 20% swing in revenue, the cumulative impact and especially the drastic decline in net income in 2025 raise concerns regarding cost pressures or other operational challenges. Given that operating income values remain at zero throughout the period, the analysis indicates potential reporting nuances or reliance on non-operating elements to bolster profitability. Overall, while Nike’s pre-2025 performance suggests a stable and sustainably growing business, the sharp downturn in 2025 warrants further inquiry into cost management, market conditions, and strategic responses to maintain long-term financial health in a highly competitive apparel and footwear industry.
This analysis is for informational purposes only and does not constitute financial advice or recommendations for any investment decisions. Please consult with a qualified financial professional for personalized guidance.