Worthington Industries Inc (WOR)
Inventory turnover
| May 31, 2025 | May 31, 2024 | May 31, 2023 | May 31, 2022 | May 31, 2021 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 834,727 | 960,684 | 4,253,080 | 4,527,400 | 2,532,350 |
| Inventory | US$ in thousands | 169,393 | 164,615 | 607,968 | 759,140 | 564,754 |
| Inventory turnover | 4.93 | 5.84 | 7.00 | 5.96 | 4.48 |
May 31, 2025 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $834,727K ÷ $169,393K
= 4.93
The inventory turnover ratios for Worthington Industries Inc over the specified period indicate fluctuations in the company's inventory management efficiency. As of May 31, 2021, the inventory turnover was 4.48, signifying that inventory was sold and replaced approximately 4.5 times during the fiscal year. This ratio increased notably by May 31, 2022, reaching 5.96, which suggests an improvement in inventory management and possibly enhanced sales or better inventory utilization. The upward trend continued through May 31, 2023, with the ratio rising to 7.00, indicating even more efficient inventory turnover and potentially stronger sales performance or optimized supply chain operations.
However, the ratio declined in the subsequent fiscal year, with May 31, 2024, recording a decrease to 5.84. This moderation could imply a slowdown in sales, increased inventory holdings, or changes in inventory management strategies. The latest data for May 31, 2025, shows the ratio decreasing further to 4.93, approaching the levels observed in 2021, which may indicate a reversal of recent efficiency gains or changes in the company's operational dynamics.
Overall, the trend demonstrates periods of significant improvement interspersed with fluctuations, reflecting variations in sales activity, inventory management effectiveness, or external market conditions impacting the company's ability to turn over its inventory efficiently.
Peer comparison
May 31, 2025