Nike Inc (NKE)
Inventory turnover
| Feb 28, 2025 | Nov 30, 2024 | Aug 31, 2024 | May 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 26,863,000 | 27,136,000 | 27,588,000 | 28,475,000 | 28,733,000 | 28,885,000 | 29,072,000 | 28,925,000 | 28,426,000 | 27,211,000 | 25,751,000 | 25,231,000 | 25,189,000 | 25,023,000 | 25,275,000 | 24,576,000 | 21,847,000 | 21,840,000 | 21,226,000 | 21,162,000 |
| Inventory | US$ in thousands | 7,539,000 | 7,981,000 | 8,253,000 | 7,519,000 | 7,726,000 | 7,979,000 | 8,698,000 | 8,454,000 | 8,905,000 | 9,326,000 | 9,662,000 | 8,420,000 | 7,700,000 | 6,506,000 | 6,699,000 | 6,854,000 | 6,693,000 | 6,090,000 | 6,705,000 | 7,367,000 |
| Inventory turnover | 3.56 | 3.40 | 3.34 | 3.79 | 3.72 | 3.62 | 3.34 | 3.42 | 3.19 | 2.92 | 2.67 | 3.00 | 3.27 | 3.85 | 3.77 | 3.59 | 3.26 | 3.59 | 3.17 | 2.87 |
February 28, 2025 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $26,863,000K ÷ $7,539,000K
= 3.56
The inventory turnover ratio for Nike Inc. demonstrates a pattern of fluctuation over the analyzed period from May 2020 through February 2025. Initially, the ratio was 2.87 in May 2020, indicating the frequency with which inventory was sold and replaced. This figure increased steadily, reaching a peak of 3.85 in November 2021, suggesting improved inventory management and more efficient sales cycles during this period.
Following the peak, there was a decline to 2.67 as of August 2022, implying a slowdown in inventory turnover or increased inventory accumulation. However, this ratio then experienced a recovery, rising to 3.62 by November 2023 and further to 3.79 in February 2025, which indicates a renewed efficiency in inventory management and potentially stronger sales performances.
Throughout the observation window, the ratio's variability reflects external factors such as seasonality, product demand shifts, and supply chain dynamics. The general trend suggests that Nike has maintained a relatively stable inventory turnover within a range roughly between 2.67 and 3.85, with periods of both acceleration and deceleration. The most recent figures point towards a moderate to high level of inventory efficiency, aligning with industry standards for a global apparel and footwear retailer.
Peer comparison
Feb 28, 2025
Feb 28, 2025