Movado Group Inc (MOV)
Inventory turnover
| Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | Oct 31, 2019 | Jul 31, 2019 | Apr 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 622,819 | 624,926 | 631,058 | 632,463 | 636,962 | 637,173 | 641,290 | 639,284 | 622,937 | 605,307 | 576,541 | 532,022 | 663,021 | 698,686 | 734,718 | 779,636 | 669,369 | 667,039 | 667,372 | 648,065 |
| Inventory | US$ in thousands | 148,031 | 171,966 | 181,448 | 195,235 | 186,203 | 215,006 | 215,038 | 180,003 | 160,283 | 170,714 | 183,289 | 169,966 | 152,580 | 176,841 | 173,374 | 177,832 | 171,406 | 201,164 | 200,953 | 178,048 |
| Inventory turnover | 4.21 | 3.63 | 3.48 | 3.24 | 3.42 | 2.96 | 2.98 | 3.55 | 3.89 | 3.55 | 3.15 | 3.13 | 4.35 | 3.95 | 4.24 | 4.38 | 3.91 | 3.32 | 3.32 | 3.64 |
January 31, 2024 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $622,819K ÷ $148,031K
= 4.21
Movado Group Inc's inventory turnover has shown fluctuations over the past few years. The inventory turnover ratio measures how efficiently the company manages its inventory by indicating the number of times inventory is sold and replaced over a period.
Movado's inventory turnover ratio ranged from 2.96 to 4.38 over the last two years. A higher inventory turnover ratio generally indicates that the company is selling goods quickly and efficiently. Movado's inventory turnover improved from 2.96 in Jul 2022 to 4.38 in Jan 2020, which suggests a more efficient management of inventory during that period.
However, it is important to note some fluctuations in the inventory turnover ratio, such as the decrease from 4.35 in Jan 2021 to 3.15 in Jul 2021. This may indicate challenges in managing inventory levels or demand forecasting during that period.
Overall, Movado Group Inc's inventory turnover ratio has shown variability but has generally remained stable around the range of 3 to 4 times in recent years. Monitoring this ratio can provide insight into the company's efficiency in managing its inventory and its ability to meet customer demand.