Nike says it’s in a better financial position as it awaits nearly $1 billion in refunds related to tariffs imposed under the International Emergency Economic Powers Act.On Tuesday, Nike shared that its growth margin for its fiscal fourth quarter of 2026 increased 890 basis points to 49.2%, “primarily due to the expected recovery of the IEEPA tariffs.” The company added that its North America business expects to recover $965 million in tariff refunds from the U.S. government, while its Converse business expects to recover $21 million.
For its fiscal year ending May 31, Nike already received approximately $300 million in cash “from IEEPA tariff recoveries.”
“Tariffs remain a dynamic cost headwind that we expect to continue looking forward,” CFO Matt Friend said during Nike’s earnings call on Tuesday. “The environment around us continues to be volatile, including evolving tariff policies, ongoing disruption in the Middle East, oil prices and other factors that could impact operating costs, consumer behavior and weakness in store traffic and retail sales.”He added, “These assumptions reflect the macro environment as it stands today, and we are not expecting the environment to improve meaningfully over the next six months.”
