Nike sales have been hit harder than expected due to the coronavirus pandemic. This week the sportswear giant shared its financial report for the 2020 fiscal year, revealing a $790 million loss in Q4, which equates to a 38 percent drop in revenue.

As with many other retailers, Nike has been forced to temporarily close a number of its stores during the pandemic, while a large portion of its wholesale partners have done the same, leaving the brand with fewer orders to fill.

Nike reports a loss of 51 cents per share during its fiscal fourth quarter, while revenue was down $6.31 billion, compared to $10.18 billion a year ago. Sales in North America dropped 46 percent, whereas sales in China only decreased by three percent, as many stores in the area have reopened sooner following the Covid-19 spike. Footwear sales at Nike were down 35 percent, while apparel and equipment sales fell 42 percent and 53 percent, respectively.

While Nike stores were closed, online sales increased by 75 percent, accounting for roughly 30 percent of total revenue in Q4. Moving forward, the brand hopes digital sales will account for 50 percent of overall sales.

“We are continuing to invest in our biggest opportunities, including a more connected digital marketplace,” Chief Executive John Donahoe said in a statement. “Consumers want modern, seamless experiences, online-to-offline, so we’re accelerating our approach.”

Donahoe went on to reveal that Nike's online business has increased by triple digits so far in June, while physical sales remain low. As it stands, approximately 90 percent of Nike stores have reopened globally, including 85 percent in North America.

For more on Nike's Q4 earnings, follow here.

What To Read Next

  • Image on Highsnobiety

    A Fresh Batch of BAPE STAs, Courtesy of SSENSE

    Sneakers
  • Image on Highsnobiety

    Collina Strada & Vans Are Dropping the World's Most Whimsical Skate Shoe

    Style
  • Image on Highsnobiety

    Days After BAPE, Nike Sues Lululemon Over Sneakers, Too

    Sneakers
  • Image on Highsnobiety

    Louis Vuitton’s $2,310 Fortune Cookie Bag Comes With a Message Inside

    Style
  • Image on Highsnobiety

    Fight Your Winter Blues With These Colorful Shoes

  • Image on Highsnobiety

    Everything Going Down at Paris Fashion Week in February

    Style
*If you submitted your e-mail address and placed an order, we may use your e-mail address to inform you regularly about similar products without prior explicit consent. You can object to the use of your e-mail address for this purpose at any time without incurring any costs other than the transmission costs according to the basic tariffs. Each newsletter contains an unsubscribe link. Alternatively, you can object to receiving the newsletter at any time by sending an e-mail to info@highsnobiety.com

Web Accessibility Statement

Titelmedia (Highsnobiety), is committed to facilitating and improving the accessibility and usability of its Website, www.highsnobiety.com. Titelmedia strives to ensure that its Website services and content are accessible to persons with disabilities including users of screen reader technology. To accomplish this, Titelmedia has engaged UsableNet Inc, a leading web accessibility consultant to help test, remediate and maintain our Website in-line with the Web Content Accessibility Guidelines (WCAG), which also bring the Website into conformance with the Americans with Disabilities Act of 1990.

Disclaimer

Please be aware that our efforts to maintain accessibility and usability are ongoing. While we strive to make the Website as accessible as possible some issues can be encountered by different assistive technology as the range of assistive technology is wide and varied.

Contact Us

If, at any time, you have specific questions or concerns about the accessibility of any particular webpage on this Website, please contact us at accessibility@highsnobiety.com, +49 (0)30 235 908 500. If you do encounter an accessibility issue, please be sure to specify the web page and nature of the issue in your email and/or phone call, and we will make all reasonable efforts to make that page or the information contained therein accessible for you.