Guess? Inc. (GES)
Inventory turnover
| Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Feb 3, 2024 | Jan 31, 2024 | Oct 31, 2023 | Oct 28, 2023 | Jul 31, 2023 | Jul 29, 2023 | Apr 30, 2023 | Apr 29, 2023 | Jan 31, 2023 | Jan 28, 2023 | Oct 31, 2022 | Oct 29, 2022 | Jul 31, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 31, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 1,693,778 | 1,918,580 | 1,987,990 | 1,935,373 | 2,187,859 | 1,811,943 | 1,928,213 | 1,906,026 | 1,880,923 | 1,966,912 | 2,079,437 | 2,105,656 | 2,113,684 | 2,029,815 | 1,905,101 | 1,887,393 | 1,738,323 | 1,795,812 | 1,555,146 | 1,558,288 |
| Inventory | US$ in thousands | 562,649 | 675,752 | 603,263 | 554,903 | 466,297 | 466,297 | 562,386 | 562,386 | 554,425 | 554,425 | 528,903 | 528,903 | 510,899 | 510,899 | 574,574 | 574,574 | 535,530 | 535,530 | 483,927 | 462,295 |
| Inventory turnover | 3.01 | 2.84 | 3.30 | 3.49 | 4.69 | 3.89 | 3.43 | 3.39 | 3.39 | 3.55 | 3.93 | 3.98 | 4.14 | 3.97 | 3.32 | 3.28 | 3.25 | 3.35 | 3.21 | 3.37 |
January 31, 2025 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $1,693,778K ÷ $562,649K
= 3.01
The inventory turnover ratio for Guess? Inc. has fluctuated over the period from January 31, 2022, to January 31, 2025. The ratio reflects how efficiently the company is managing its inventory.
From January 31, 2022, to January 31, 2023, the inventory turnover gradually increased from 3.37 to 4.14, indicating that Guess? Inc. was selling its inventory more quickly during this period. It reached its peak on February 3, 2024, with a ratio of 4.69, showing very efficient management of inventory during that specific period.
However, from February 3, 2024, to October 31, 2024, there was a decline in inventory turnover, dropping to as low as 2.84. This decrease could suggest either excess inventory levels or slower sales during this timeframe.
Overall, with the ratio ranging from 2.84 to 4.69, Guess? Inc. has shown variations in its inventory management efficiency over the analyzed period. It would be important for the company to continuously monitor and adjust its inventory levels to achieve a balance between having enough stock to meet customer demand while not holding excess inventory that could tie up capital.