Walmart Inc (WMT)

Activity ratios

Short-term

Turnover ratios

	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
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
Receivables turnover	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Payables turnover	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Working capital turnover	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—

Based on the provided data, let's analyze Walmart Inc's activity ratios:

1. Inventory Turnover Ratio:
- Walmart's inventory turnover ratio has fluctuated over the periods shown. It ranged from a low of 7.01 to a high of 9.94.
- A higher turnover ratio indicates that Walmart is selling its inventory more frequently during the period, which is generally positive as it implies efficient inventory management.
- It's essential for Walmart to monitor inventory turnover to ensure that inventory levels are optimized to meet demand without excessive holding costs.

2. Receivables Turnover:
- Data is not available for receivables turnover, which may suggest that Walmart has a minimal amount of accounts receivable or that this data is not disclosed.
- A higher receivables turnover ratio would typically indicate that Walmart is efficient in collecting payment from its customers.

3. Payables Turnover:
- Data is not available for payables turnover, which may indicate that information regarding how quickly Walmart pays its suppliers is not provided or is not significant.
- A higher payables turnover ratio would generally suggest that Walmart is paying its suppliers more quickly, which can be beneficial for managing cash flow.

4. Working Capital Turnover:
- Data is not available for the working capital turnover, which could imply that the company's management of working capital is not disclosed or not a focus in the data provided.
- A higher working capital turnover ratio would typically indicate that Walmart is generating more revenue per unit of working capital invested.

In conclusion, based on the available data, Walmart Inc's inventory turnover has shown variability, which is a key indicator of its inventory management efficiency. However, the lack of data for receivables turnover, payables turnover, and working capital turnover limits a comprehensive assessment of Walmart's overall activity efficiency.

Average number of days

		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
Days of inventory on hand (DOH)	days	40.25	45.54	40.49	40.73	40.88	48.25	43.30	44.01	44.53	52.04	49.34	51.66	48.08	48.94	41.10	40.16	39.03	45.84	36.72	37.28
Days of sales outstanding (DSO)	days	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Number of days of payables	days	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—

Based on the provided data for Walmart Inc's activity ratios, the Days of Inventory on Hand (DOH) has shown some variability over the quarters. The company had an average of around 45 days of inventory on hand in the most recent quarter ending January 31, 2025. The trend in DOH seems to fluctuate within a range of 40 to 50 days.

Unfortunately, data for Days of Sales Outstanding (DSO) and Number of Days of Payables are not available, making it difficult to assess the efficiency of Walmart's accounts receivable and accounts payable management.

In general, monitoring and managing inventory levels effectively is crucial for a company like Walmart, which operates in the retail sector with a vast supply chain. A balance between holding enough inventory to meet customer demand and minimizing excess stock is essential to optimize working capital and profitability. Further analysis incorporating DSO and payables turnover would provide a more comprehensive overview of Walmart's efficiency in managing its working capital cycle.

Long-term

	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
Fixed asset turnover	—	—	—	—	—	5.04	5.09	6.08	5.13	5.19	5.14	5.09	5.09	5.18	6.18	6.19	5.09	5.37	4.41	5.25
Total asset turnover	2.61	2.56	2.61	2.59	2.57	2.46	2.47	2.54	2.51	2.42	2.38	2.34	2.34	2.34	2.37	2.38	2.21	2.19	2.28	2.30

Walmart Inc's Fixed Asset Turnover ratio measures how efficiently the company utilizes its fixed assets to generate sales. The ratio fluctuated over the years, indicating changes in asset utilization. It increased from 5.25 as of April 30, 2020, to a peak of 6.19 as of April 30, 2021, before stabilizing around 5.09 to 5.19 in subsequent periods.

On the other hand, the Total Asset Turnover ratio reflects how effectively Walmart generates sales from all its assets. The ratio improved gradually from 2.30 in April 30, 2020, to 2.61 as of January 31, 2025. This suggests that assets were managed more efficiently over time, as the company generated more sales from its total assets.

Overall, the trends in both ratios indicate that Walmart improved its asset utilization efficiency and effectiveness in generating sales, demonstrating sound operational performance and effective management of its asset base.