Nike Inc (NKE)
Net profit margin
| May 31, 2025 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 3,219,000 | 4,508,000 | 4,886,000 | 5,301,000 | 5,700,000 | 5,231,000 | 5,299,000 | 5,052,000 | 5,070,000 | 5,478,000 | 5,634,000 | 5,640,000 | 6,046,000 | 6,116,000 | 6,169,000 | 6,083,000 | 5,727,000 | 3,428,000 | 2,826,000 | 2,690,000 |
| Revenue (ttm) | US$ in thousands | 46,309,000 | 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 |
| Net profit margin | 6.95% | 9.43% | 9.98% | 10.60% | 11.10% | 10.14% | 10.28% | 9.82% | 9.90% | 10.82% | 11.47% | 11.96% | 12.94% | 13.06% | 13.32% | 13.17% | 12.86% | 8.90% | 7.39% | 7.20% |
May 31, 2025 calculation
Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $3,219,000K ÷ $46,309,000K
= 6.95%
The analysis of Nike Inc.'s net profit margin over the specified period reveals a pattern of fluctuations driven by various operational, strategic, and external factors. Starting from August 31, 2020, with a net profit margin of 7.20%, there was a steady upward trend observed through early 2022, reaching a peak of approximately 13.17% on August 31, 2021. This period of growth aligns with a recovery phase following the initial impacts of the COVID-19 pandemic, reflecting improved operational efficiency, cost management, and potentially favorable revenue growth.
Throughout 2022, the net profit margin experienced a gradual decline, with figures decreasing from 12.94% in May 2022 to 11.47% in November 2022. The downward trend continued into early 2023, with March 2023 showing a margin of approximately 10.82%. This decline could be attributed to rising input costs, increased competition, or shifts in sales mix. However, there was a slight uptick observed in May 2023, with the margin reaching 9.90%, followed by a marginal increase to 10.28% in November 2023. Early 2024 also saw some upward movement, with March figures at 10.14% and May at 11.10%, indicating potential improvements in operational efficiencies or favorable market conditions.
Despite the short-term fluctuations, the overall trend from the peak in late 2021 indicates a general decline in net profit margins over the period, reaching a low of approximately 6.95% in May 2025. The sharp decrease at this point suggests increased pressures on profitability, which could stem from rising costs, strategic investments, or macroeconomic factors. The subsequent rebound to roughly 9.43% in February 2025 and a partial recovery to about 9.98% in November 2024 reflect some stabilization efforts or market dynamics.
Overall, Nike's net profit margin exhibited an initial period of growth, peaking in mid-2021, followed by a sustained downward trend with intermittent recoveries. This pattern underscores the importance of ongoing cost control, product mix management, and strategic initiatives to sustain profitability amidst challenging economic conditions and competitive pressures.
Peer comparison
May 31, 2025