MAAT INDEX

CLAIM #46163 · Nike Inc (NKE) · 2022Q3 earnings call · Mar 21, 2022 · due May 31, 2025

But that doesn't change our confidence in our ability to drive high 40s gross margin by fiscal year '25 and beyond.

Matt Friend · CFO

PENDING
graded after results covering May 31, 2025 are reported

In context

ce. So when you look at the revenue and EBIT performance or operating income performance in North America, you're seeing a larger impact of that in that geography. As we look ahead to the marketplace shift, the underlying drivers are the same drivers. It's a higher mix of full price. It's us continuing to leverage our supply chain costs and fulfillment in order to drive more productivity. And while in the short term, we might see some normalization as inventory supply starts to flow, some normalization of channels because wholesale has had a little less product over the last couple of quarters to the normalization of full price because with lack of supply, we've got a couple of our geographies with full price realization that's well above our definition of 65% for full marketplace health. But that doesn't change our confidence in our ability to drive high 40s gross margin by fiscal year '25 and beyond. Operator: Our last question comes from the line of Adrienne Yih with Barclays. Adrienne Yih: Let me add my congratulations. We really are going see the shift to digital DTC. Along those lines, Matt, would it be fair to say that obviously, the digital DTC is going to play a much bigger role to get to those fiscal '25 targets? And can you get there without China coming back to that algorithm, 13% to 15% growth? And are the EBIT margins in those 2 channels relatively similar? Matt Friend: Adrienne, we've got a strong portfolio of brands, products, geographies, and we're encouraged by the momentum that we're seeing in Greater China. As it relates to Digital, as both John and I mentioned on the call, the growth we continue to deliver through that channel continues to be fantastic and it's the

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SEC filings for NKE · Claim quote is verbatim from the 2022Q3 earnings call.