Scholastic Corporation (SCHL)
Inventory turnover
| May 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 1,595,200 | 1,583,800 | 1,577,800 | 1,604,300 | 1,597,700 | 1,621,500 | 1,632,900 | 1,585,900 | 1,556,700 | 1,473,600 | 1,411,300 | 1,327,900 | 1,308,300 | 1,261,500 | 1,393,100 | 1,527,800 | 1,575,600 | 1,684,100 | 1,632,300 | 1,646,700 |
| Inventory | US$ in thousands | 264,200 | 282,500 | 302,300 | 353,200 | 334,500 | 367,500 | 380,400 | 379,100 | 281,400 | 299,400 | 279,300 | 298,100 | 269,700 | 304,800 | 306,500 | 323,200 | 270,600 | 307,700 | 357,800 | 403,600 |
| Inventory turnover | 6.04 | 5.61 | 5.22 | 4.54 | 4.78 | 4.41 | 4.29 | 4.18 | 5.53 | 4.92 | 5.05 | 4.45 | 4.85 | 4.14 | 4.55 | 4.73 | 5.82 | 5.47 | 4.56 | 4.08 |
May 31, 2024 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $1,595,200K ÷ $264,200K
= 6.04
Inventory turnover is an important financial ratio for Scholastic Corporation, indicating how efficiently the company manages its inventory levels. The inventory turnover ratio measures the number of times a company sells and replaces its inventory during a specific period, typically a year.
Based on the data provided, Scholastic Corporation's inventory turnover has shown some fluctuation over the past few quarters. The inventory turnover ratio ranged from a low of 4.08 to a high of 6.04. A higher inventory turnover ratio generally indicates that the company is selling goods quickly and efficiently, while a lower ratio may suggest excess inventory or slow-moving goods.
Overall, Scholastic Corporation has generally maintained a healthy inventory turnover ratio above 4, which indicates efficient management of its inventory levels. It is essential for the company to strike a balance between having enough inventory to meet customer demand and avoiding excessive carrying costs associated with excess inventory.
Analyzing inventory turnover trends over time can provide insights into Scholastic Corporation's sales and inventory management strategies. By monitoring this ratio consistently, the company can make informed decisions to optimize inventory levels, improve cash flow, and enhance profitability.
Peer comparison
May 31, 2024
May 31, 2024