G-III Apparel Group Ltd (GIII)

Short-term

Turnover ratios

Based on the activity ratios provided for G-III Apparel Group Ltd, we can analyze the company's performance in managing its inventory, receivables, payables, and working capital turnover.

1. Inventory Turnover:
- G-III Apparel Group's inventory turnover fluctuated over the periods analyzed, ranging from a low of 1.90 to a high of 67.32.
- A high turnover ratio indicates efficient management of inventory, while a low ratio may suggest overstocking or slow-moving inventory.
- The company experienced a significant spike in inventory turnover in April 30, 2023, possibly due to sales promotions or other factors impacting demand.

2. Receivables Turnover:
- The data does not provide information on receivables turnover for G-III Apparel Group, indicating that the company may not report this metric or may have a different method of managing accounts receivable.
- Without this information, it is challenging to assess the efficiency of the company in collecting outstanding receivables.

3. Payables Turnover:
- Similar to receivables turnover, data on payables turnover is not available for G-III Apparel Group.
- The absence of payables turnover information limits our ability to analyze how effectively the company manages its trade payables.

4. Working Capital Turnover:
- The working capital turnover ratio for G-III Apparel Group shows variability over time, ranging from a minimum of 2.18 to a maximum of 124.78.
- This ratio reflects how efficiently the company generates revenue relative to its working capital.
- Extreme fluctuations in working capital turnover, such as in April 30, 2023, may indicate anomalies or irregularities in the company's financial operations that warrant further investigation.

Overall, while G-III Apparel Group demonstrates varying levels of efficiency in managing its inventory and working capital turnover, the lack of data on receivables and payables turnover limits the comprehensive analysis of the company's overall operational efficiency and cash flow management.

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Average number of days

Based on the provided data for G-III Apparel Group Ltd, let's analyze the activity ratios:

1. Days of Inventory on Hand (DOH):
- The DOH ratio provides insight into how efficiently the company manages its inventory. A lower DOH indicates the company is selling inventory quickly and not holding excess stock.
- In April 2023 and January 2025, the DOH was exceptionally low at 5.42 days and 92.18 days, respectively, suggesting efficient inventory turnover.
- However, in July 2022 and April 2022, the DOH spiked to 191.60 days and 105.86 days, signaling potential inventory management issues during these periods.

2. Days of Sales Outstanding (DSO):
- DSO measures how long it takes for a company to collect revenue after making a sale. A lower DSO indicates faster collection of accounts receivable, which is favorable.
- Unfortunately, the data does not provide any information on DSO for the periods under review, so it is not possible to evaluate the efficiency of the company in collecting payments from customers.

3. Number of Days of Payables:
- The number of days of payables reveals how long a company takes to pay its suppliers. A longer payable period may indicate favorable cash flow management.
- Regrettably, the data does not include information on the number of days of payables, which prevents an assessment of how promptly G-III Apparel Group settles its outstanding obligations to suppliers.

In conclusion, while the inventory turnover efficiency can be gleaned from the DOH data, the absence of details on DSO and payables hinders a comprehensive assessment of G-III Apparel Group Ltd's overall activity ratios. Additional information on accounts receivable and payables turnover would provide a more complete picture of the company's operational performance and financial health.

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Long-term

The fixed asset turnover ratio for G-III Apparel Group Ltd has experienced fluctuations over the years, indicating changes in how effectively the company utilizes its fixed assets to generate sales. The ratio was significantly high in the earlier periods, seen as a positive sign of asset utilization efficiency. However, it dropped to substantially lower levels in the later periods, suggesting a lower level of revenue generation in relation to fixed assets.

On the other hand, the total asset turnover ratio also varied over time. The ratio started relatively low, indicating that the company was not generating a high level of sales compared to its total assets. It then gradually increased, reaching a peak before showing some fluctuations in the more recent periods.

Overall, a high fixed asset turnover ratio signifies efficient use of fixed assets in revenue generation, while a high total asset turnover ratio indicates efficient utilization of total assets to drive sales. The trends observed in these ratios for G-III Apparel Group Ltd can provide insights into the company's operational efficiency and asset management strategies.