Lamb Weston Holdings Inc (LW)
Inventory turnover
| May 26, 2024 | May 28, 2023 | May 29, 2022 | May 30, 2021 | May 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 5,403,700 | 4,476,500 | 3,661,400 | 3,203,000 | 3,241,200 |
| Inventory | US$ in thousands | 1,138,600 | 932,000 | 574,400 | 513,500 | 486,700 |
| Inventory turnover | 4.75 | 4.80 | 6.37 | 6.24 | 6.66 |
May 26, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $5,403,700K ÷ $1,138,600K
= 4.75
The inventory turnover ratio for Lamb Weston Holdings Inc has shown a fluctuating trend over the past five years, ranging from 4.75 to 6.66. In general, a higher inventory turnover indicates that the company is selling its inventory more frequently within a given period.
Comparing the most recent data in 2024 with previous years, we observe a slight decline in the inventory turnover ratio from 4.80 in 2023 to 4.75 in 2024. This indicates that Lamb Weston Holdings Inc took slightly longer to sell its inventory in 2024 compared to the previous year.
Although the inventory turnover ratio decreased in 2024, it is still within a reasonable range and suggests that the company is efficiently managing its inventory levels. Further analysis of the trend over more years would provide better insights into the company's inventory management practices and operational efficiency.
Peer comparison
May 26, 2024