Box Inc (BOX)

Inventory turnover

		Jan 31, 2024	Oct 31, 2023	Jul 31, 2023	Apr 30, 2023	Jan 31, 2023	Oct 31, 2022	Jul 31, 2022	Apr 30, 2022	Jan 31, 2022	Oct 31, 2021	Jul 31, 2021	Apr 30, 2021	Jan 31, 2021	Oct 31, 2020	Jul 31, 2020	Apr 30, 2020	Jan 31, 2020	Oct 31, 2019	Jul 31, 2019	Apr 30, 2019
Cost of revenue (ttm)	US$ in thousands	777,187	773,759	770,666	775,833	776,493	781,415	786,165	775,055	761,669	740,831	710,271	691,220	682,628	511,570	524,588	528,630	520,733	674,771	657,527	640,415
Inventory	US$ in thousands	—	44,743	45,403	46,689	48,040	46,120	45,809	45,021	—	—	—	62,867	52,454	53,051	53,096	54,534	48,459	40,596	39,906	38,923
Inventory turnover		—	17.29	16.97	16.62	16.16	16.94	17.16	17.22	—	—	—	10.99	13.01	9.64	9.88	9.69	10.75	16.62	16.48	16.45

January 31, 2024 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $777,187K ÷ $—K
= —

The inventory turnover ratio for Box Inc demonstrates a consistent and stable performance over the past few quarters. From Oct 31, 2019, to Jul 31, 2023, the company's inventory turnover ratio has ranged from 16.16 to 17.29, indicating that the company efficiently manages its inventory to generate sales.

A high and consistent inventory turnover ratio suggests that Box Inc is effectively selling its products, minimizing excess inventory, and maintaining a lean inventory management system. This can help prevent inventory obsolescence and reduce storage costs.

Although there was a slight dip in the inventory turnover ratio in Apr 2021 to 9.64, the company quickly improved this metric in subsequent quarters, reaching a ratio of 17.29 in Oct 2023. This recovery signifies the company's ability to adapt and adjust its inventory management practices effectively.

Overall, the consistent and relatively high inventory turnover ratio of Box Inc reflects its efficient management of inventory levels, which positively impacts its liquidity, profitability, and overall financial health.