Walmart Inc (WMT)

Inventory turnover

		Jan 31, 2025	Oct 31, 2024	Jul 31, 2024	Apr 30, 2024	Jan 31, 2024	Oct 31, 2023	Jul 31, 2023	Apr 30, 2023	Jan 31, 2023	Oct 31, 2022	Jul 31, 2022	Apr 30, 2022	Jan 31, 2022	Oct 31, 2021	Jul 31, 2021	Apr 30, 2021	Jan 31, 2021	Oct 31, 2020	Jul 31, 2020	Apr 30, 2020
Cost of revenue (ttm)	US$ in thousands	511,753,000	507,406,000	501,249,000	496,289,000	490,142,000	483,740,000	478,170,000	472,158,000	463,721,000	453,820,000	443,230,000	432,575,000	429,000,000	428,739,000	424,055,000	421,561,000	420,315,000	412,802,000	408,363,000	403,597,000
Inventory	US$ in thousands	56,435,000	63,302,000	55,611,000	55,382,000	54,892,000	63,951,000	56,722,000	56,932,000	56,576,000	64,706,000	59,921,000	61,229,000	56,511,000	57,484,000	47,754,000	46,383,000	44,949,000	51,842,000	41,084,000	41,217,000
Inventory turnover		9.07	8.02	9.01	8.96	8.93	7.56	8.43	8.29	8.20	7.01	7.40	7.06	7.59	7.46	8.88	9.09	9.35	7.96	9.94	9.79

January 31, 2025 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $511,753,000K ÷ $56,435,000K
= 9.07

Inventory turnover is a key financial ratio used to evaluate how efficiently a company manages its inventory. In the case of Walmart Inc, the inventory turnover figures have fluctuated over the period analyzed, as follows:

- As of January 31, 2025, the inventory turnover ratio stood at 9.07, indicating that Walmart turned over its inventory approximately 9.07 times during the fiscal year. This suggests that Walmart effectively manages its inventory by quickly selling through its stock.

- The highest inventory turnover ratio was observed on July 31, 2020, at 9.94, indicating a peak in inventory management efficiency during that period.

- Conversely, the lowest inventory turnover ratio was recorded on October 31, 2022, at 7.01, suggesting a lower rate of inventory turnover during that particular period.

- Overall, Walmart's inventory turnover ratios have shown a general trend of fluctuation, with some periods exhibiting higher efficiency in inventory management compared to others. This could be influenced by various factors such as seasonal demand, supply chain disruptions, or changes in consumer preferences.

- It would be advantageous for Walmart to closely monitor its inventory turnover ratio and continue to refine its inventory management practices to ensure optimal efficiency in handling its inventory levels and maximizing sales.