Nike, Inc has released its Fiscal 2018 Income Statement, revealing that while revenues rose, income dropped by more than half.

The company’s net income decreased 54 per cent to $1.9 million for fiscal 2018, largely impacted by significant changes related to the Tax Cuts and Jobs Act.

The effective tax rate was 55.4 per cent compared to 13.2 per cent in fiscal 2017, leading to a 270 per cent rise in taxed income; the company paying almost $2.4 billion

Earnings per share dropped by 54 per cent year over year.

Revenues for the retailer rose 6 per cent to $36.4 billion, up 4 per cent on a currency-neutral basis, with the Nike brand pulling in $34.5 billion and Converse $1.9 billion.

Gross margin decreased to 43.8 per cent, largely driven by foreign currency exchange rates.

The company also revealed its fourth quarter results, finding a 13 per cent increase in both revenue, $9.8 billion, and net income, $1.1 billion.

“Our new innovation is winning with consumers, driving significant momentum in our international geographies and a return to growth in North America,” said Mark Parker, chairman, president and CEO of Nike, Inc.

“Fueled by a complete digital transformation of our company end-to-end, this year set the foundation for Nike’s next wave of long-term, sustainable growth and profitability.”