Key Insights on Nike’s Financial Performance

⚡Net Revenue grew by 15.52% from 2016 to 2020 but declined by 4.38% from 2019 to 2020.

⚡ Cost of Revenue grew by 21.59% from 2016 to 2020

⚡Avg of 30.19% and 69.81% of total Expenses was spent on Demand creation expense and Operation overhead expense respectively from 2016 to 2020.

⚡Interest expense grew by 368.42% from 2016 to 2020.

⚡Net Income nosedived by 36.98% from 2019 to 2020.

⚡ Liquidity: Nike has maintained an avg of 12.30% of total Assets in highly Liquid Assets for the 5 years period.

⚡ Return on Equity: Nike increased the returns to stockholders from 30.7% in 2016 to 31.5% in 2020.

⚡Leverage: Nike gearing ratio increased from 38.4% in 2019 to 116.8% in 2020, making Nike to be highly geared in 2020.

Source : Nike Annual Report