Nike is expected to report a decline in quarterly sales, but CEO Elliott Hill’s strategy may be showing progress. The company is implementing a turnaround plan, improving inventory and winning back wholesale partners. Challenges remain, including tariffs and competition from brands like On and Hoka.

The uncertain consumer backdrop and competition are making Nike’s comeback challenging. Tariffs may impact the company’s bottom line in 2026, and consumer spending during the holiday season is uncertain. Investors are waiting for updates on financial guidance, back-to-school shopping, holiday outlook, and new product performance.

CEO Elliott Hill is realigning Nike’s corporate structure to focus on sports over consumer segments. The company has started shuffling teams and laid off around 1% of its staff. Hill’s strategy aims to reignite innovation, reach more female customers, and grow lifestyle merchandise sales. The recent NikeSKIMS launch will be closely watched for its impact on sales.

Read more at CNBC: Nike (NKE) Q1 2026 earnings