John Wiley & Sons (WLY)
Inventory turnover
| Apr 30, 2024 | Apr 30, 2023 | Apr 30, 2022 | Apr 30, 2021 | Apr 30, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 1,669,540 | 1,914,620 | 1,865,080 | 1,722,680 | 1,984,560 |
| Inventory | US$ in thousands | 26,219 | 30,733 | 36,585 | 42,538 | 43,614 |
| Inventory turnover | 63.68 | 62.30 | 50.98 | 40.50 | 45.50 |
April 30, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $1,669,540K ÷ $26,219K
= 63.68
Based on the data provided, John Wiley & Sons' inventory turnover has shown an increasing trend over the past five years. The inventory turnover ratio, which measures how efficiently a company manages its inventory by calculating the number of times inventory is sold and replaced within a given period, has improved from 45.50 in 2020 to 63.68 in 2024.
A higher inventory turnover ratio indicates that the company is selling its inventory more frequently, which can be a positive sign of efficient inventory management and strong sales performance. John Wiley & Sons' consistent improvement in inventory turnover suggests that the company has been able to effectively streamline its inventory management processes to optimize sales and reduce excess inventory levels.
This trend may indicate that John Wiley & Sons has improved its inventory control, sales forecasting, and supply chain management, leading to better turnover of inventory and potentially lower carrying costs. Overall, the increasing inventory turnover ratio reflects positively on the company's operational efficiency and ability to effectively manage its inventory levels in line with customer demand.
Peer comparison
Apr 30, 2024