Kohls Corp (KSS)
Inventory turnover
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | Feb 1, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 16,759,000 | 17,874,000 | 17,753,000 | 16,323,000 | 18,835,000 |
| Inventory | US$ in thousands | 2,880,000 | 3,189,000 | 3,067,000 | 2,590,000 | 3,537,000 |
| Inventory turnover | 5.82 | 5.60 | 5.79 | 6.30 | 5.33 |
February 3, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $16,759,000K ÷ $2,880,000K
= 5.82
The inventory turnover ratio for Kohls Corp has shown variability over the past five years, ranging from 5.33 in February 2020 to 6.30 in January 2021. This ratio measures how efficiently the company manages its inventory by indicating the number of times inventory is sold and replaced over a specific period. A higher inventory turnover ratio generally indicates that the company is selling its products quickly and efficiently, while a lower ratio may suggest excess inventory or slow sales.
Kohls Corp's inventory turnover has generally been healthy, staying above 5 in the past five years. This suggests that the company effectively manages its inventory levels to meet customer demand and avoid excessive holding costs. However, the slight fluctuations in the ratio indicate some variability in inventory management efficiency over the years.
It is important for Kohls Corp to continue monitoring its inventory turnover ratio to ensure optimal performance in inventory management. By maintaining a balance between stocking enough inventory to meet demand and avoiding excess stock, the company can improve operational efficiency and profitability.
Peer comparison
Feb 3, 2024