Quanex Building Products (NX)
Inventory turnover
| Oct 31, 2024 | Oct 31, 2023 | Oct 31, 2022 | Oct 31, 2021 | Oct 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 1,188,220 | 997,832 | 1,083,740 | 961,734 | 763,842 |
| Inventory | US$ in thousands | 275,550 | 97,959 | 120,890 | 92,529 | 61,181 |
| Inventory turnover | 4.31 | 10.19 | 8.96 | 10.39 | 12.48 |
October 31, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $1,188,220K ÷ $275,550K
= 4.31
Quanex Building Products' inventory turnover has shown a declining trend over the past five years. The company's inventory turnover ratio was 4.31 in 2024, down from 10.19 in 2023, indicating that the company took longer to sell its inventory in 2024 compared to the previous year. This downward trend in inventory turnover suggests that Quanex Building Products may be facing challenges in efficiently managing its inventory levels or may be experiencing slower sales growth. Further analysis and investigation into the underlying factors affecting inventory management and operations efficiency may be warranted to address this decline in inventory turnover.
Peer comparison
Oct 31, 2024