Nike Inc (NKE)
Gross profit margin
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit (ttm) | US$ in thousands | 20,955,000 | 21,842,000 | 22,424,000 | 22,887,000 | 22,848,000 | 22,657,000 | 22,397,000 | 22,292,000 | 22,200,000 | 21,896,000 | 21,398,000 | 21,479,000 | 21,631,000 | 21,283,000 | 20,917,000 | 19,962,000 | 16,660,000 | 16,414,000 | 16,111,000 | 16,241,000 |
| Revenue (ttm) | US$ in thousands | 47,818,000 | 48,978,000 | 50,012,000 | 51,362,000 | 51,581,000 | 51,542,000 | 51,469,000 | 51,217,000 | 50,626,000 | 49,107,000 | 47,149,000 | 46,710,000 | 46,820,000 | 46,306,000 | 46,192,000 | 44,538,000 | 38,507,000 | 38,254,000 | 37,337,000 | 37,403,000 |
| Gross profit margin | 43.82% | 44.60% | 44.84% | 44.56% | 44.30% | 43.96% | 43.52% | 43.52% | 43.85% | 44.59% | 45.38% | 45.98% | 46.20% | 45.96% | 45.28% | 44.82% | 43.26% | 42.91% | 43.15% | 43.42% |
February 28, 2025 calculation
Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $20,955,000K ÷ $47,818,000K
= 43.82%
The analysis of Nike Inc.'s gross profit margin over the period from May 2020 through February 2025 reveals a relatively stable profitability trend within a defined range, exhibiting minor fluctuations over time.
Initially, the gross profit margin was approximately 43.42% as of May 31, 2020. Throughout the subsequent quarters, there was a slight decline, reaching a low point of approximately 42.91% in November 2020. This modest decrease may reflect temporary pressures on cost management or pricing strategies during that period.
Starting from late 2020 and into 2021, the gross profit margin witnessed a gradual upward trend, rising above 44% in May 2021 and reaching peaks of nearly 45.96% by November 2021. This consistent increase suggests improvements in cost efficiency, favorable product mix, or successful pricing strategies that bolstered gross profitability. The margin maintained a level exceeding 45%, peaking around 46.20% in February 2022.
From mid-2022 onward, the gross profit margin displayed some variability, generally remaining within the 43.5% to 45% range. Notably, there was a slight decline after the peak in early 2022, with the margin decreasing to approximately 44.59% in November 2022 and then fluctuating around 43.8% to 44.8% through 2023 and into early 2024.
In terms of recent trends, the margin showed a modest recovery, reaching approximately 44.60% in November 2024, before slightly decreasing again to around 43.82% by February 2025.
Overall, Nike Inc.'s gross profit margin has demonstrated resilience and stability over this period, with fluctuations attributable to cyclical factors, cost management, product mix, and pricing strategies. The margins have consistently hovered around mid-43% to mid-44%, reflecting a steady core profitability level in Nike's operations.
Peer comparison
Feb 28, 2025