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(Sharecast News) - Nike reported a flat full-year revenue performance overnight on Wednesday, and warned that its turnaround would remain uneven, as weakness in China and pressure on sportswear demand offset a fourth-quarter earnings beat.
Revenue for the fourth quarter fell 1% to $11.0bn, or 4% on a currency-neutral basis, while full-year revenue was flat at $46.4bn, down 2% currency-neutral.
Quarterly diluted EPS rose to $0.72, helped by a $0.52 benefit from an expected $986m tariff recovery, while full-year EPS slipped 3% to $2.10.
Nike Direct revenue fell 7% in the quarter, including a 12% decline in digital sales, while wholesale revenue rose 4%.
Chief executive Elliott Hill said Nike had made "meaningful structural improvements" but acknowledged that top-line headwinds remained.
Greater China sales fell sharply, while Converse revenue dropped 32% in the quarter.
Analysts said the update showed some progress, including stronger North American wholesale trends, but Nike's cautious outlook and continued market-share pressure in China suggested investors may need to wait longer for a clear recovery.
At 0458 EDT (0958 BST), shares in Nike were down 3.71% in premarket trading in New York at $39.52.
Reporting by Josh White for Sharecast.com.
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