La-Z-Boy Incorporated (LZB)
Inventory turnover
| Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Apr 27, 2024 | Jan 31, 2024 | Jan 27, 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 1,176,432 | 1,199,472 | 1,196,245 | 1,201,208 | 1,176,586 | 1,151,964 | 1,140,735 | 1,129,506 | 1,141,887 | 1,154,268 | 1,204,641 | 1,265,860 | 1,315,245 | 1,375,882 | 1,412,217 | 1,448,136 | 1,510,879 | 1,501,239 | 1,490,816 | 1,470,349 |
| Inventory | US$ in thousands | 288,720 | 289,209 | 271,790 | 263,237 | 263,237 | 276,833 | 276,833 | 268,480 | 268,480 | 269,429 | 269,429 | 276,257 | 276,257 | 303,553 | 303,553 | 342,728 | 342,728 | 331,846 | 331,846 | 303,191 |
| Inventory turnover | 4.07 | 4.15 | 4.40 | 4.56 | 4.47 | 4.16 | 4.12 | 4.21 | 4.25 | 4.28 | 4.47 | 4.58 | 4.76 | 4.53 | 4.65 | 4.23 | 4.41 | 4.52 | 4.49 | 4.85 |
January 31, 2025 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $1,176,432K ÷ $288,720K
= 4.07
La-Z-Boy Incorporated's inventory turnover has been relatively stable over the observed period, ranging between 4.07 and 4.85 times. A higher inventory turnover ratio indicates more efficient management of inventory, as the company is selling and replacing its inventory more frequently.
While the inventory turnover ratio has fluctuated slightly, it generally remained above 4 times, which suggests that La-Z-Boy is effectively managing its inventory levels. However, the decreasing trend from January 2024 to January 2025, with a decrease from 4.16 to 4.07, may indicate a slower rate of inventory turnover, which could potentially lead to higher carrying costs or obsolete inventory.
Overall, a close monitoring of the inventory turnover ratio is essential to ensure optimal inventory management and efficient use of resources.
Peer comparison
Jan 31, 2025
Jan 31, 2025