Nike Inc. has announced the retirement of CEO John Donahoe, effective October 13, 2024, amid ongoing challenges in sales and stock performance.
Elliott Hill, a seasoned executive with over three decades at Nike, will step back into the role of President and Chief Executive Officer starting October 14.
The decision comes as Nike grapples with a decline in revenue and a significant drop in stock value down approximately 24% this year. Donahoe, who has led the company since January 2020, played a crucial role during the COVID-19 pandemic and oversaw the shift to online retail.
However, his leadership faced criticism for lacking the visionary marketing approach needed to rejuvenate the brand’s competitive edge.
Hill, who retired in 2020 after serving as President of Consumer and Marketplace, is expected to leverage his extensive experience to revitalize Nike’s innovative product development and marketing strategies.
Mark Parker, Executive Chairman of Nike, expressed confidence in Hill’s ability to guide the company through its next growth phase.
Following the announcement, Nike’s stock surged by over 8% in after-hours trading, reflecting investor optimism about Hill’s return.
As part of the transition plan, Donahoe will remain with Nike as an advisor until January 31, 2025, ensuring a smooth handover of responsibilities.
