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Nike APAC revenue lift offsets Greater China decline in fiscal 2023

Nike Inc. announced a 10 percent uptick in revenues to USD 51.2 billion for fiscal 2023, on the back of a single-digit increase in Asia Pacific Latin America sales, offsetting a decline in Greater China sales.

SEE ALSO: Nike reveals several leadership changes

The Portland, Oregon-based Nike said Asia Pacific Latin America sales increased 8 percent to USD 6.4 billion for the year ended May 31, including an 11 percent increase in footwear sales in the region and a 3 percent increase in footwear sales, offset by a 4 percent decrease in equipment sales.

Elsewhere in Asia, Nike Greater China revenues fell 4 percent to USD 7.4 billion for the 12 months, hurt by a 14 percent plummet in apparel sales, offset by flat sales growth in footwear.

Despite the yearly Greater China dip, the region roared back to growth in the fourth quarter, clocking a whopping 16 percent growth during the three months to USD 1.8 billion. Asia Pacific and Latin America recorded steady quarterly growth of 1 percent.

By brand, global annual Nike sales increased 5 percent to USD 12.8 billion, while Converse sales USD 586 million, down 1 percent. On a currency-neutral basis, Converse was up 1 percent, led by double-digit growth in Asia, said Nike in a press release.

Annual net income was USD 5.1 billion, down 16 percent, and diluted earnings per share were USD 3.23, down 14 percent compared to prior year.

“Nike’s strong results make clear that our strategy is working,” said John Donahoe, president and CEO, Nike, Inc.

“FY23 was a milestone year for Nike as our unique advantages continue to drive competitive separation. Our investment in innovation and our digital leadership are fueling broad-based growth across our portfolio of brands, as we create value by serving the future of sport.”

The earnings update comes on the back of several leadership changes at the U.S. sportswear giant.

In May, Nike appointed Heidi O’Neill, formerly Nike president, consumer and  marketplace, to the role of president, consumer, product and brand, while Craig Williams, formerly president, Jordan brand, has taken on the role of president, geographies and marketplace.