General Mills Inc (GIS)
Inventory turnover
| May 31, 2024 | May 26, 2024 | May 31, 2023 | May 28, 2023 | May 31, 2022 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 12,925,100 | -4,894,300 | 13,548,400 | -4,588,400 | 12,590,600 |
| Inventory | US$ in thousands | 1,898,200 | 1,898,200 | 2,172,000 | 2,172,000 | 1,867,300 |
| Inventory turnover | 6.81 | -2.58 | 6.24 | -2.11 | 6.74 |
May 31, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $12,925,100K ÷ $1,898,200K
= 6.81
The inventory turnover ratio for General Mills Inc fluctuated significantly over the period analyzed. In May 2022 and May 2023, the company had a relatively healthy inventory turnover of 6.74 and 6.24, respectively, indicating that they were able to sell through their inventory efficiently during those periods. However, in May 2023 and May 2024, the inventory turnover ratio took a negative turn, with values of -2.11 and -2.58, implying that the company may have had difficulties managing and selling its inventory effectively during those times.
It is worth noting that in May 2024, the inventory turnover ratio rebounded to 6.81, suggesting a return to a more efficient inventory management strategy. Overall, fluctuations in the inventory turnover ratio can be indicative of changes in demand, production, or supply chain issues within the company, highlighting the importance of closely monitoring and optimizing inventory management practices.
Peer comparison
May 31, 2024