G-III Apparel Group Ltd (GIII)

Inventory turnover

		Jan 31, 2024	Oct 31, 2023	Jul 31, 2023	Apr 30, 2023	Jan 31, 2023	Oct 31, 2022	Jul 31, 2022	Apr 30, 2022	Jan 31, 2022	Oct 31, 2021	Jul 31, 2021	Apr 30, 2021	Jan 31, 2021	Oct 31, 2020	Jul 31, 2020	Apr 30, 2020	Jan 31, 2020	Oct 31, 2019	Jul 31, 2019	Apr 30, 2019
Cost of revenue (ttm)	US$ in thousands	2,134,766	2,476,066	2,585,329	2,534,128	2,577,075	2,923,559	2,796,292	2,666,442	2,505,111	2,319,790	2,204,869	2,071,043	2,041,547	2,263,933	2,507,417	2,813,673	2,977,217	2,936,706	2,883,813	2,866,347
Inventory	US$ in thousands	520,426	591,530	804,858	630,308	709,345	900,987	1,040,810	550,059	512,155	448,991	499,337	346,668	416,503	461,769	574,767	500,410	551,918	650,633	842,136	538,955
Inventory turnover		4.10	4.19	3.21	4.02	3.63	3.24	2.69	4.85	4.89	5.17	4.42	5.97	4.90	4.90	4.36	5.62	5.39	4.51	3.42	5.32

January 31, 2024 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $2,134,766K ÷ $520,426K
= 4.10

The inventory turnover ratio for G-III Apparel Group Ltd has fluctuated over the past few years, indicating changes in the efficiency of managing its inventory. The ratio measures how many times a company's inventory is sold and replaced over a specific period, reflecting how well the company is managing its inventory levels.

In the most recent period, the inventory turnover was 4.10, suggesting that the company's inventory turned over approximately 4.10 times during that period. This was slightly lower than the previous period's turnover of 4.19, which may indicate a slight decrease in the efficiency of managing inventory.

Looking back further, the inventory turnover has varied significantly, ranging from a low of 2.69 to a high of 5.97. A higher turnover ratio generally indicates that the company is selling goods more quickly and efficiently, while a lower ratio may imply excess inventory levels or slow-moving inventory.

It is important for G-III Apparel Group Ltd to monitor its inventory turnover ratio consistently to ensure optimal inventory management practices. By analyzing trends in this ratio, the company can identify potential inefficiencies, such as overstocking or understocking, and take appropriate actions to improve overall operational efficiency.