John Donahoe: Yes. Cristina, probably the highlight of the last 90 days for me was getting back to China for the first time post-pandemic. And I will tell you, it just – it was such a palpable reminder, a, what a strong team we have there. And I just want to again call out our China team who has just done a spectacular job over challenge after challenge after challenge over the last three or four years. But what’s also clear is the consumers back in China and NIKE and Jordan brand are strong. So, you heard our Q4 growth was 25%. We had a strong 6/18, and that’s across different categories, performance and lifestyle men’s, women’s, kids, really strong performance in running and basketball wholesale fitness. But what was really clear is that the NIKE formula of the best innovation combined with great local storytelling, combined with the marketplace is connecting with Chinese consumers, particularly Gen Z.
And so, the Gen Z consumer in China cares about innovation, and they’re doing a great job of taking our global innovations and hyper-localizing them as well a great job of local storytelling. When I was there, we saw – Craig Williams and I were there together, we saw that live streaming studio where we do a lot of live streaming in a way that really connects with Gen Z. Social shopping is taking off in China in a bigger way than other places, and we’re at the front edge of that. And then as you know, we have 6,000 mono-brand doors that provide such an advantage. I will tell you being in several of those doors in Shanghai and Beijing, what was – it was right when the Motiva was launched. And the far majority of those 6,000 doors, the first floor is dedicated to women’s.
And you walk in, it is some of the best merchandising of a great innovation like Motiva connected to her, pulling her off the street and into the doors. And so, we’ll continue to invest in China. Our China for China strategy, I think, is going very, very well. And looking ahead, we’re optimistic about NIKE’s Brand, Jordan’s Brand, the momentum we have as well, we think it’s a structural tailwinds in the region make us optimistic over the long-term. Gen Z is the most active generation. There’s a growing middle class, increased focus on health and wellness. So, a very energizing visit and makes us very confident about our brands and our business in China.
Matt Friend: I think that the other thing I would just add is, the activity and the effort that we’ve taken over the last three quarters to improve our inventory position in the marketplace. We had another great quarter we reported. And where you really see that come to life in a mono-brand marketplace, where you can see the full breadth in our stores is that you get the full breadth of a seasonal assortment, which is when NIKE is operating at its best. Leading with innovation, China actually is our largest penetration of innovation of any geography that we operate in, and that connects well with what John referenced in terms of what the consumer is looking for. But this quarter, in particular, as we’ve improved our inventory position, we saw the highest level of full price selling that we’ve seen in eight quarters.
And that just shows the strength of NIKE when we have a healthy marketplace and we can bring the breadth of the assortment and the depth of our stories to bear for the consumer and to drive consumer demand.
Operator: And our final question today will come from John Kernan TD Cowen.
John Kernan: Excellent. Thanks for taking my question. Matt, just wanted to go back to the margin puts and takes and maybe talk a little bit about the long-term margin targets that were issued way back in fiscal 2022. I know a lot has changed since then, but are we still thinking in terms of a high-teens operating margin long-term? And how do we think about the margin profile of DTC and the mix shift of the DTC?
