Nike CEO Aims to Revive Brand by Refocusing on Sport
Nike’s Shares React to Mixed Results Nike delivered better-than-expected financial results on Thursday, with shares initially surging by 11%. However, optimism was short-lived as CEO Elliott Hill and CFO Matthew Friend tempered expectations, predicting a significant revenue drop in the third quarter. This led to shares reversing course and closing lower. In his first earnings call since becoming CEO in October, Hill acknowledged that Nike had “lost its obsession with sport” and vowed to bring the iconic brand back on track. Hill emphasized that Nike’s future lies in premium pricing, innovation, and a renewed focus on sports performance. Despite overall revenue falling 7.7% to $12.35 billion—better than the anticipated 9.41% decline—Nike’s profits exceeded modest estimates. The company reported earnings per share of 78 cents, surpassing analyst expectations of 63 cents. Hill highlighted that newer models of performance and running shoes have already started attracting shoppers, of...