Nike Aims to Outsprint the Competition with Bold New Strategy

Nike's CEO, Elliott Hill, pushes a 'win now' strategy focusing on product innovation and sports marketing to combat declining sales. The company beat profit estimates, expanded retail presence, and launched a live-streamed athletic event. However, China remains a challenging market, impacting overall revenue and share performance.

Nike has reported a smaller-than-expected decline in fourth-quarter revenue, surpassing profit estimates, as CEO Elliott Hill's strategic focus on product innovation and sports marketing begins to show results.

Hill's efforts include heavy investment in running shoe lines like Pegasus and Vomero, while reducing older stock such as Air Force 1 and Air Jordan 1 through discounts. Under his leadership since October, Nike has strengthened relationships with wholesale partners, expanded physical retail presence, and resumed sales on Amazon after a six-year hiatus.

Nike hosted a high-profile event featuring athlete Faith Kipyegon aiming to break a mile record, while also acknowledging China's continued economic pressures impacting demand. Despite these challenges, Nike exceeded earnings expectations but saw shares fall 2% in extended trading.

(With inputs from agencies.)