Pure Storage Inc (PSTG)
Inventory turnover
| Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Feb 4, 2024 | Jan 31, 2024 | Nov 5, 2023 | Oct 31, 2023 | Aug 6, 2023 | Jul 31, 2023 | Apr 30, 2023 | Feb 5, 2023 | Jan 31, 2023 | Nov 6, 2022 | Oct 31, 2022 | Aug 7, 2022 | Jul 31, 2022 | May 8, 2022 | Apr 30, 2022 | Feb 6, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 955,455 | 1,231,206 | 1,204,357 | 1,492,293 | 1,504,611 | 1,443,860 | 1,424,637 | 1,088,970 | 1,467,109 | 1,215,158 | 1,505,015 | 1,538,770 | 1,421,894 | 1,376,208 | 1,370,635 | 1,354,899 | 1,423,255 | 1,452,787 | 1,154,373 | 1,355,209 |
| Inventory | US$ in thousands | 42,810 | 41,571 | 43,548 | 40,674 | 42,663 | 42,663 | 46,211 | 46,211 | 47,498 | 47,498 | 51,821 | 50,152 | 52,095 | 59,716 | 61,355 | 52,265 | 52,265 | 41,301 | 41,301 | 38,942 |
| Inventory turnover | 22.32 | 29.62 | 27.66 | 36.69 | 35.27 | 33.84 | 30.83 | 23.57 | 30.89 | 25.58 | 29.04 | 30.68 | 27.29 | 23.05 | 22.34 | 25.92 | 27.23 | 35.18 | 27.95 | 34.80 |
January 31, 2025 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $955,455K ÷ $42,810K
= 22.32
The inventory turnover ratio of Pure Storage Inc has been fluctuating over the past few years based on the provided data. The ratio measures how efficiently the company is managing its inventory by indicating how many times the company's inventory is sold and replaced over a specific period.
From February 6, 2022, to January 31, 2025, Pure Storage Inc's inventory turnover ratio ranged from a low of 22.32 to a high of 36.69 times. This indicates that the company's inventory turnover has varied significantly during this period.
A higher inventory turnover ratio suggests that the company is selling its inventory more frequently, which can be a sign of efficient inventory management. On the other hand, a lower ratio may indicate slower sales or excess inventory levels.
Analyzing the trend, we can observe fluctuations in the inventory turnover ratio, with the ratio peaking at times and declining at other points. For instance, there was a notable increase in the ratio from February 6, 2022, to April 30, 2024, followed by a decrease by January 31, 2025.
It is important for Pure Storage Inc to monitor and manage its inventory turnover effectively to ensure optimal use of resources and maintain profitability. Further analysis and comparison with industry benchmarks can provide more insights into the company's inventory management efficiency.
Peer comparison
Jan 31, 2025
Jan 31, 2025