Kohl's Corporation (KSS)
Cash conversion cycle
| Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Feb 3, 2024 | Jan 31, 2024 | Oct 31, 2023 | Oct 28, 2023 | Jul 31, 2023 | Jul 29, 2023 | Apr 30, 2023 | Apr 29, 2023 | Jan 31, 2023 | Jan 28, 2023 | Oct 31, 2022 | Oct 29, 2022 | Jul 31, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 31, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 90.12 | 122.42 | 81.39 | 79.45 | 65.91 | 83.86 | 126.61 | 129.82 | 110.32 | 92.58 | 78.92 | 76.60 | 66.88 | 75.10 | 137.09 | 141.46 | 116.36 | 91.09 | 91.11 | 65.70 |
| Days of sales outstanding (DSO) | days | — | — | — | — | 3.07 | — | — | — | — | — | — | — | — | 4.14 | — | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | 25.95 | — | — | 58.74 | — | 36.67 | — | 28.46 | — | 31.32 | — | 58.45 | — | 33.80 | — | — |
| Cash conversion cycle | days | 90.12 | 122.42 | 81.39 | 79.45 | 43.03 | 83.86 | 126.61 | 71.08 | 110.32 | 55.91 | 78.92 | 48.14 | 66.88 | 47.92 | 137.09 | 83.01 | 116.36 | 57.28 | 91.11 | 65.70 |
January 31, 2025 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 90.12 + — – —
= 90.12
The cash conversion cycle, a key metric for assessing a company's efficiency in managing its working capital, fluctuated for Kohl's Corporation over the analyzed period. The cycle measures the time it takes for a company to convert its investments in inventory into cash from sales.
Between January 2022 and January 2025, Kohl's Corporation showed varying cash conversion cycle durations. Notably, the cycle was relatively stable in the range of 65 to 90 days, indicating the company's generally consistent ability to manage its cash flows in relation to its operations and inventory turnover.
There were instances of longer cash conversion cycles, such as in July 2022 and October 2023, which may suggest potential inefficiencies in managing inventory and collections. Conversely, shorter cycles in January 2023 and February 2024 could imply improved working capital management.
The upward trend observed towards the end of the period, including in October 2024, suggests a potential increase in the time taken to convert inventory into cash, which could be a concern for liquidity management. This trend warrants further investigation to understand the underlying factors influencing the cash conversion cycle and its implications for Kohl's operational and financial performance.
Peer comparison
Jan 31, 2025