Guess? Inc. (GES)
Inventory turnover
| Jan 31, 2025 | Feb 3, 2024 | Jan 31, 2024 | Jan 31, 2023 | Jan 28, 2023 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 1,694,280 | 2,514,920 | 1,553,950 | 1,538,600 | 2,441,440 |
| Inventory | US$ in thousands | 562,649 | 466,297 | 466,297 | 510,899 | 510,899 |
| Inventory turnover | 3.01 | 5.39 | 3.33 | 3.01 | 4.78 |
January 31, 2025 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $1,694,280K ÷ $562,649K
= 3.01
The inventory turnover ratio for Guess? Inc. provides insight into how efficiently the company manages its inventory. The trend analysis indicates fluctuations in the inventory turnover over the years.
As of January 28, 2023, the inventory turnover stood at 4.78, reflecting that the company converted its inventory nearly 4.78 times during that period. However, by January 31, 2023, the ratio decreased to 3.01, indicating a decline in inventory turnover efficiency.
In the following year, the inventory turnover ratio slightly improved to 3.33 as of January 31, 2024. This suggests a better utilization of inventory compared to the previous year. By February 3, 2024, the inventory turnover experienced a significant increase, reaching 5.39. This uptick indicates that the company was more effective in managing and selling its inventory during that time.
Subsequently, by January 31, 2025, the inventory turnover ratio reverted to 3.01, showing a decline in efficiency in inventory management compared to the peak reached in February 3, 2024.
Overall, the fluctuation in inventory turnover ratios for Guess? Inc. highlights the company's varying ability to efficiently manage and sell its inventory over the analyzed periods. Further investigation and analysis may be required to understand the underlying reasons for these fluctuations and to make informed decisions regarding inventory management strategies.