ConAgra Foods Inc (CAG)
Inventory turnover
| May 31, 2024 | May 26, 2024 | May 31, 2023 | May 28, 2023 | May 31, 2022 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 8,717,500 | 12,276,900 | 9,012,200 | 12,005,400 | 8,697,100 |
| Inventory | US$ in thousands | 2,083,000 | 2,083,000 | 2,212,200 | 2,212,200 | 1,966,700 |
| Inventory turnover | 4.19 | 5.89 | 4.07 | 5.43 | 4.42 |
May 31, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $8,717,500K ÷ $2,083,000K
= 4.19
The inventory turnover ratio for ConAgra Foods Inc has shown fluctuations over the past five years. In May 2022, the ratio stood at 4.42, indicating that the company turned over its inventory approximately 4.42 times during that year. The ratio then increased to 5.43 by May 2023, suggesting a more efficient management of inventory. However, it decreased to 4.07 in the following year, signifying a potential slowdown in inventory turnover.
Subsequently, the inventory turnover ratio improved significantly to 5.89 in May 2024, reflecting a higher rate of inventory turnover. This may indicate effective inventory management practices or increased demand for the company's products. By the end of May 2024, the ratio decreased to 4.19, although still higher than the level in the previous year, indicating that ConAgra Foods Inc continued to efficiently turn over its inventory compared to earlier periods.
Overall, the inventory turnover ratios suggest some variability in ConAgra Foods Inc's inventory management efficiency over the years, with periods of improvement and slight decline. Monitoring this ratio can provide insights into the company's inventory control, production efficiency, and potential sales trends.
Peer comparison
May 31, 2024