Hawkins Inc (HWKN)
Inventory turnover
| Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 725,526 | 769,979 | 628,021 | 473,109 | 439,281 |
| Inventory | US$ in thousands | 74,600 | 88,777 | 94,985 | 63,864 | 54,436 |
| Inventory turnover | 9.73 | 8.67 | 6.61 | 7.41 | 8.07 |
March 31, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $725,526K ÷ $74,600K
= 9.73
Hawkins Inc's inventory turnover has shown a fluctuating trend over the past five years. The inventory turnover ratio indicates how many times a company sells and replenishes its inventory during a specific period. A higher inventory turnover ratio typically suggests that a company is efficiently managing its inventory levels and converting inventory into sales quickly.
In this case, we can observe an increasing trend in inventory turnover from 2020 to 2021, followed by a slight decrease in 2022, a significant increase in 2023, and another increase in 2024. This suggests improvements in the company's inventory management efficiency in recent years.
Hawkins Inc's 2024 inventory turnover ratio of 9.73 indicates that the company sold and replenished its inventory approximately 9.73 times during the fiscal year, which is higher than the ratios from the previous years. This could be attributed to various factors such as improved inventory control, demand forecasting, and supply chain management.
Overall, the increasing inventory turnover trend reflects positively on Hawkins Inc's operational efficiency and effectiveness in managing its inventory levels, which could lead to improved cash flows, reduced carrying costs, and better profitability in the long run.
Peer comparison
Mar 31, 2024