Oracle Corporation (ORCL)

Inventory turnover

		May 31, 2025	May 31, 2024	May 31, 2023	May 31, 2022	May 31, 2021
Cost of revenue	US$ in thousands	2,307,000	15,143,000	13,564,000	8,877,000	7,855,000
Inventory	US$ in thousands	—	334,000	298,000	314,000	142,000
Inventory turnover		—	45.34	45.52	28.27	55.32

May 31, 2025 calculation

Inventory turnover = Cost of revenue ÷ Inventory
= $2,307,000K ÷ $—K
= —

The inventory turnover ratio for Oracle Corporation over the specified periods demonstrates notable fluctuations. As of May 31, 2021, the ratio was 55.32, indicating that on average, inventory was sold and replaced approximately 55 times within the fiscal year. This high turnover figure suggests a strong efficiency in inventory management and rapid inventory movement relative to sales.

By May 31, 2022, the ratio declined significantly to 28.27, reflecting a slowdown in inventory turnover. This reduction could imply either an increase in inventory levels, a slowdown in sales, or a combination of both, potentially indicating stockpiling or challenges in inventory liquidation during that period.

In May 31, 2023, the ratio increased again to 45.52, signaling an improvement in inventory management efficiency or sales performance. The ratio's slight decrease to 45.34 by May 31, 2024, indicates relative stability, with the company maintaining a level of inventory turnover comparable to the previous year.

The data for May 31, 2025, is unavailable, and therefore, an assessment for that period cannot be made. Overall, the trend from 2021 to 2024 shows a period of fluctuation with a notable dip in 2022 followed by partial recovery and stabilization in subsequent years. This pattern could be indicative of dynamic operational adjustments, varying product demand, or strategic inventory management decisions undertaken by the company during these years.