Nike (NKE) named a new CEO Thursday, sending its stock up nearly 10% in after-hours trading as the company attempts to reinvigorate slowing sales grow

Nike names former executive Elliott Hill as CEO

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2024-09-20 01:00:03

Nike (NKE) named a new CEO Thursday, sending its stock up nearly 10% in after-hours trading as the company attempts to reinvigorate slowing sales growth amid increased competition.

Elliott Hill, a former Nike executive who retired in 2020, will return to the company as the CEO and president on Oct. 14. John Donahoe, Nike's current CEO, will retire effective Oct. 13 and will remain an adviser to the company until January 2025.

Before retiring, Hill was president of Nike's consumer and marketplace business, leading commercial and marketing operations for Nike and the Jordan brand.

"Given our needs for the future, the past performance of the business, and after conducting a thoughtful succession process, the Board concluded it was clear Elliott’s global expertise, leadership style, and deep understanding of our industry and partners, paired with his passion for sport, our brands, products, consumers, athletes, and employees, make him the right person to lead Nike’s next stage of growth,” Nike executive chairman Mark Parker said in a press release.

The news comes as Nike stock has stumbled this year, falling more than 25% amid slowing revenue growth and concerns about the success of the company's pivot to direct-to-consumer sales.

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