Nike fiscal Q1 revenue drops 4% as running grows double digits

Nike's net income for the quarter came in at $0.7 billion, a 2% decline from the prior year, according to the company's fiscal first-quarter report released Thursday. Greater China was the largest drag on the top line, with sales down 26% year over year, while the sportswear business and the Jordan brand were also cited as weak spots.

For the full year, Nike projected that revenue will decline by high single digits. CEO Elliot Hill pointed to basketball, soccer — which the company calls global football — and running as areas of success. "These challenges are significant, but are not the whole story at Nike," Hill said.

The running result marks a notable shift. A few years ago, the category was a vulnerability for Nike, and The Wall Street Journal declared that the company had "missed the run club boom" as competitors like On and Hoka gained market share.

During the fiscal first quarter, Nike's running business grew double digits with "consistent share gains," Hill said.