Oxford Industries Inc (OXM)

Inventory turnover

		Feb 28, 2025	Nov 30, 2024	Aug 31, 2024	May 31, 2024	Feb 29, 2024	Feb 3, 2024	Nov 30, 2023	Oct 28, 2023	Aug 31, 2023	Jul 29, 2023	May 31, 2023	Apr 29, 2023	Feb 28, 2023	Jan 28, 2023	Nov 30, 2022	Oct 29, 2022	Aug 31, 2022	Jul 30, 2022	May 31, 2022	Apr 30, 2022
Cost of revenue (ttm)	US$ in thousands	564,985	573,025	956,598	922,934	1,096,189	1,085,918	945,655	969,412	1,005,156	1,003,415	1,002,083	972,454	911,043	892,702	831,629	842,494	835,971	826,910	820,456	789,443
Inventory	US$ in thousands	167,287	154,263	139,583	144,373	159,565	159,565	157,524	157,524	161,866	161,866	179,608	179,608	220,138	220,138	171,639	171,639	135,483	135,483	122,760	122,760
Inventory turnover		3.38	3.71	6.85	6.39	6.87	6.81	6.00	6.15	6.21	6.20	5.58	5.41	4.14	4.06	4.85	4.91	6.17	6.10	6.68	6.43

February 28, 2025 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $564,985K ÷ $167,287K
= 3.38

The inventory turnover for Oxford Industries Inc fluctuated over the past few years, ranging from a low of 3.38 to a high of 6.87. A higher inventory turnover indicates that the company is selling its inventory more efficiently.

In the earlier period, the inventory turnover was relatively stable, hovering around the mid-6s range. However, in more recent periods, there has been a noticeable decline in inventory turnover, dropping to as low as 3.38 and 3.71 in November 2024. This decline may suggest potential issues such as overstocking, slow-moving inventory, or challenges in managing inventory levels efficiently.

It is essential for Oxford Industries Inc to closely monitor and manage its inventory levels to ensure optimal turnover. A low inventory turnover may tie up capital in unsold inventory and lead to increased holding costs. The company may need to review its inventory management practices, assess demand fluctuations, and optimize stocking levels to improve its inventory turnover ratio in the future.