As the world’s leading athletic footwear, apparel and equipment company, NIKE, Inc. is dedicated to inspiring every athlete to reach their full potential. NIKE co-founder Bill Bowerman saw endless possibilities for human achievement through sport. His philosophy still guides our mission today: “To bring inspiration and innovation to every athlete in the world.” We believe if you have a body, you are an athlete.
Through our commitment to innovation, sustainability and design, we are continually challenging ourselves, and our consumers, to reach the next level of achievement.
- Serves the athlete
- Grows the company
- Delivers inspiration
NIKE, Inc. includes five distinct brands, each with a powerful connection to its customers:
- NIKE Brand designs, develops and sells high-quality athletic performance gear and sport-inspired lifestyle products, including footwear, apparel, equipment and accessories
- Converse, Inc. designs, markets, licenses and sells casual sneakers, apparel and accessories
- Hurley International LLC designs, markets and distributes surf and youth lifestyle footwear, apparel and accessories
- Jordan Brand designs and markets premium footwear, apparel and accessories inspired by the dynamic legacy, vision and direct involvement of Michael Jordan
- NIKE Golf designs and markets golf equipment, apparel, balls, footwear, bags and accessories
Converse, Hurley and NIKE Golf were reported as “Other Businesses”in FY12 and FY13. Other affiliated brands in our portfolio at the end of FY12 were Cole Haan and Umbro, which we divested in FY13. Beginning in FY14, Hurley and NIKE Golf results are now reported within the NIKE Brand, while Converse results are a separate reporting segment. Accordingly, we have restated all comparative financial information to reflect these changes, which can be found at investors.nikeinc.com. However, reference to other NIKE Brand metrics throughout this report have not been restated to reflect these changes.
Plan for Growth
NIKE, Inc. is a growth company. Over the last 10 years, we’ve more than doubled our revenue, and we believe we’ll deliver $30 billion in revenue by FY15 and $36 billion by FY17.*
Since we published our FY10/11 Sustainable Business Performance Summary, our overall employee base grew to approximately 48,000 at the end of FY13, an increase of 10,000 employees. We expect strong growth in Running, Basketball, Football, Men’s Training, Sportswear, Women’s Training and Direct to Consumer sales. As we look forward, we believe that sustainability is one of the key drivers that will catalyze innovation and lead us toward continued growth.
Like many other businesses, NIKE faced some headwinds in FY12/FY13. Rising costs for energy, materials and labor sparked inflationary pressures in some locations and margin pressures across our industry. Major weather events, such as flooding in Thailand, put stress on supply chains and delivery. Both weather conditions and political unrest affected markets and confidence in some areas.
While these challenges were shared across our industry, the competitive advantages we have are unique to the NIKE portfolio. In spite of ongoing macroeconomic challenges, we remain well positioned to leverage our strengths – including scale, operational capabilities, brand strength and product innovation – to help mitigate the risks beyond our control and capitalize on opportunities to grow our company.
Taking the Long View
At NIKE, we seek to deliver shareholder value through sustainable growth. One of the ways we will achieve this goal is to find avenues to reach our long-term vision of decoupling profitable growth from constrained resources.
We are working to integrate sustainability into every aspect of our business. Our aim is to challenge, push and explore ways that change the game entirely for materials, design and manufacturing. We don’t grow just to get bigger. We grow to be better and do better.