Core & Main Inc (CNM)
Inventory turnover
| Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Jan 31, 2024 | Jan 28, 2024 | Oct 31, 2023 | Oct 29, 2023 | Jul 31, 2023 | Jul 30, 2023 | Apr 30, 2023 | Jan 31, 2023 | Jan 29, 2023 | Oct 31, 2022 | Oct 30, 2022 | Jul 31, 2022 | May 1, 2022 | Apr 30, 2022 | Jan 31, 2022 | Jan 30, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 5,504,000 | 5,351,000 | 5,180,000 | 5,067,000 | 5,361,000 | 5,627,000 | 5,938,000 | 5,740,000 | 5,131,000 | 5,021,000 | 4,704,000 | 5,153,000 | 5,512,000 | 5,680,000 | 5,539,000 | 4,874,000 | 4,651,900 | 4,268,100 | 4,289,100 | 4,342,500 |
| Inventory | US$ in thousands | 908,000 | 950,000 | 959,000 | 945,000 | 766,000 | 766,000 | 824,000 | 824,000 | 896,000 | 896,000 | 1,030,000 | 1,047,000 | 1,047,000 | 1,148,000 | 1,148,000 | 1,166,000 | 1,063,000 | 1,063,000 | 856,000 | 856,000 |
| Inventory turnover | 6.06 | 5.63 | 5.40 | 5.36 | 7.00 | 7.35 | 7.21 | 6.97 | 5.73 | 5.60 | 4.57 | 4.92 | 5.26 | 4.95 | 4.82 | 4.18 | 4.38 | 4.02 | 5.01 | 5.07 |
January 31, 2025 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $5,504,000K ÷ $908,000K
= 6.06
Core & Main Inc's inventory turnover has fluctuated over the given period. The inventory turnover ratio indicates how efficiently the company manages its inventory levels by showing how many times in a given period the company sells and replaces its inventory.
Based on the data provided:
- The inventory turnover ranged from a low of 4.02 on April 30, 2022, to a high of 7.35 on January 28, 2024.
- The ratios generally increased from 2022 to 2024, indicating an improvement in inventory management efficiency.
- The company experienced a significant increase in inventory turnover from October 29, 2023, to January 28, 2024, suggesting a more rapid turnover of inventory during this period.
- Although there were fluctuations, the overall trend suggests a positive correlation with potential improvements in inventory management practices.
It is important for Core & Main Inc to carefully monitor its inventory turnover ratio to ensure optimal management of its inventory levels, balancing the need to meet customer demand while minimizing carrying costs and obsolete inventory.