Deere & Company (DE)
Inventory turnover
| Oct 27, 2024 | Jul 28, 2024 | Apr 28, 2024 | Jan 28, 2024 | Oct 29, 2023 | Jul 30, 2023 | Apr 30, 2023 | Jan 29, 2023 | Oct 30, 2022 | Jul 31, 2022 | May 1, 2022 | Jan 30, 2022 | Oct 31, 2021 | Aug 1, 2021 | May 2, 2021 | Jan 31, 2021 | Nov 1, 2020 | Aug 2, 2020 | May 3, 2020 | Feb 2, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 5,511,000 | 5,485,000 | 5,318,000 | 5,387,000 | 5,109,000 | 5,152,000 | 5,001,000 | 4,592,000 | 4,542,000 | 3,777,000 | 3,644,000 | 3,520,000 | 3,557,000 | 10,100,000 | 16,133,000 | 22,614,000 | 27,945,000 | 28,331,000 | 29,367,000 | 30,868,000 |
| Inventory | US$ in thousands | 7,093,000 | 7,696,000 | 8,443,000 | 8,937,000 | 8,160,000 | 9,350,000 | 9,713,000 | 10,056,000 | 8,495,000 | 9,121,000 | 9,030,000 | 7,935,000 | 6,781,000 | 6,410,000 | 6,042,000 | 5,956,000 | 4,999,000 | 5,650,000 | 6,171,000 | 6,482,000 |
| Inventory turnover | 0.78 | 0.71 | 0.63 | 0.60 | 0.63 | 0.55 | 0.51 | 0.46 | 0.53 | 0.41 | 0.40 | 0.44 | 0.52 | 1.58 | 2.67 | 3.80 | 5.59 | 5.01 | 4.76 | 4.76 |
October 27, 2024 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $5,511,000K ÷ $7,093,000K
= 0.78
The inventory turnover ratio for Deere & Company has fluctuated over the past few quarters, indicating varying efficiency in managing and selling inventory. The ratio was relatively stable around 0.60 to 0.78 for most of the recent quarters. It dropped to 0.40 in May 2022 before gradually increasing to 0.71 in July 2024.
The trend suggests that Deere & Company took longer to sell its inventory in the earlier periods but improved its efficiency in recent quarters. However, it's worth noting that the inventory turnover ratio was significantly higher in recent periods (e.g., 3.80 in January 2021 and 5.59 in November 2020), which indicates a much higher rate of inventory turnover during those periods.
Overall, the company's inventory turnover has been volatile, with some periods showing higher efficiency in managing inventory than others. This metric is crucial for assessing how quickly a company sells its inventory and can provide insights into its operational efficiency and liquidity.
Peer comparison
Oct 27, 2024
Oct 27, 2024