Nike Inc (NKE)

The analysis of Nike Inc.'s number of days of payables over the period from May 31, 2021, to May 31, 2025, reveals notable fluctuations in the company's payment practices.

In May 2021, Nike's accounts payable period was approximately 42.12 days, indicating that the company typically took just over six weeks to settle its liabilities with suppliers. This period increased significantly in May 2022, reaching approximately 48.58 days, which suggests a deliberate extension in the payment cycle, possibly as a strategic measure to optimize cash flow or manage supplier relationships.

By May 2023, the payable period contracted to around 36.12 days, reflecting a reduction of roughly 12.5 days from the previous year. This decrease may indicate a move towards more prompt payments, potentially aiming to strengthen supplier relations, improve credit terms, or adapt to changes in working capital management.

In May 2024, the payable period slightly increased again to approximately 36.54 days, remaining relatively stable compared to the prior year, which suggests a maintained approach to accounts payable that balances cash management with supplier commitments.

However, by May 2025, the days of payables rose sharply to approximately 47.88 days. This marked increase indicates a substantial extension in the payment cycle, potentially reflecting strategic shifts, such as leveraging extended credit terms, delays in payment due to liquidity considerations, or adjustments in supply chain financing arrangements.

Overall, the pattern showcases a cycle of both extension and contraction in Nike's accounts payable period, with notable peaks in May 2022 and May 2025. These fluctuations may mirror strategic financial practices aimed at managing liquidity, optimizing working capital, or responding to supplier relationships and market conditions over the analyzed period.

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May 31, 2025