Five Below Inc (FIVE)

Inventory turnover

		Jan 31, 2025	Feb 3, 2024	Jan 31, 2024	Jan 31, 2023	Jan 28, 2023
Cost of revenue	US$ in thousands	2,523,860	3,192,100	2,285,540	1,980,820	2,847,580
Inventory	US$ in thousands	659,500	584,627	584,627	527,720	527,720
Inventory turnover		3.83	5.46	3.91	3.75	5.40

January 31, 2025 calculation

Inventory turnover = Cost of revenue ÷ Inventory
= $2,523,860K ÷ $659,500K
= 3.83

The inventory turnover ratio for Five Below Inc fluctuated over the period analyzed. It stood at 5.40 on January 28, 2023, indicating that the company's inventory was sold and replaced 5.40 times during that period. The ratio decreased to 3.75 on January 31, 2023, suggesting a slower inventory turnover. Subsequently, there was a slight improvement as of January 31, 2024, with the ratio at 3.91, though still lower than the initial figure. By February 3, 2024, the ratio increased to 5.46, showing a higher inventory turnover, which could indicate more efficient management of inventory. However, by January 31, 2025, the ratio dropped to 3.83, indicating a lower rate of inventory turnover compared to the previous period. Overall, the inventory turnover ratio for Five Below Inc varied during the period, with efforts needed to maintain consistent and efficient management of inventory levels.