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# Foot Locker Inventory Turnover

: 0.68 (As of Apr. 2020)
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Inventory Turnover measures how fast the company turns over its inventory within a year. It is calculated as Cost of Goods Sold divided by Total Inventories. Foot Locker's Cost of Goods Sold for the three months ended in Apr. 2020 was \$905 Mil. Foot Locker's Total Inventories for the quarter that ended in Apr. 2020 was \$1,333 Mil. Foot Locker's Inventory Turnover for the quarter that ended in Apr. 2020 was 0.68.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Foot Locker's Days Inventory for the three months ended in Apr. 2020 was 134.40.

Total Inventories can be measured by Days Sales of Inventory (DSI). Foot Locker's days sales of inventory (DSI) for the three months ended in Apr. 2020 was 103.43.

Inventory-to-Revenue determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue. Foot Locker's Inventory-to-Revenue for the quarter that ended in Apr. 2020 was 1.13.

## Foot Locker Inventory Turnover Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

 Foot Locker Annual Data Jan11 Jan12 Jan13 Jan14 Jan15 Jan16 Jan17 Jan18 Jan19 Jan20 Inventory Turnover     3.87 3.96 4.12 4.25 4.41

## Foot Locker Inventory Turnover Calculation

Foot Locker's Inventory Turnover for the fiscal year that ended in Jan. 2020 is calculated as

 Inventory Turnover (A: Jan. 2020 ) = Cost of Goods Sold / Total Inventories = Cost of Goods Sold (A: Jan. 2020 ) / ( (Total Inventories (A: Jan. 2019 ) + Total Inventories (A: Jan. 2020 )) / count ) = 5462 / ( (1269 + 1208) / 2 ) = 5462 / 1238.5 = 4.41

Foot Locker's Inventory Turnover for the quarter that ended in Apr. 2020 is calculated as

 Inventory Turnover (Q: Apr. 2020 ) = Cost of Goods Sold / Total Inventories = Cost of Goods Sold (Q: Apr. 2020 ) / ( (Total Inventories (Q: Jan. 2020 ) + Total Inventories (Q: Apr. 2020 )) / count ) = 905 / ( (1208 + 1458) / 2 ) = 905 / 1333 = 0.68

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

Foot Locker  (NYSE:FL) Inventory Turnover Explanation

Inventory Turnover measures how fast the company turns over its inventory within a year. A higher Inventory Turnover means the company has light inventory. Therefore the company spends less money on storage, write downs, and obsolete inventory. If the inventory is too light, it may affect sales because the company may not have enough to meet demand.

1. Days Inventory indicates the number of days of goods in sales that a company has in the inventory.

Foot Locker's Days Inventory for the three months ended in Apr. 2020 is calculated as:

 Days Inventory = Total Inventories (Q: Apr. 2020 ) / Cost of Goods Sold (Q: Apr. 2020 ) * Days in Period = 1333 / 905 * 365 / 4 = 134.40

2. Total Inventories can be measured by Days Sales of Inventory (DSI).

Foot Locker's Days Sales of Inventory for the three months ended in Apr. 2020 is calculated as:

 Days Sales of Inventory (DSI) = Total Inventories (Q: Apr. 2020 ) / Revenue (Q: Apr. 2020 ) * Days in Period = 1333 / 1176 * 365 / 4 = 103.43

3. Inventory-to-Revenue determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue.

Foot Locker's Inventory to Revenue for the quarter that ended in Apr. 2020 is calculated as

 Inventory-to-Revenue = Total Inventories (Q: Apr. 2020 ) / Revenue (Q: Apr. 2020 ) = 1333 / 1176 = 1.13

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

Be Aware

Usually retailers pile up their inventories at holiday seasons to meet the stronger demand. Therefore, the inventory of a particular quarter of a year should not be used to calculate Inventory Turnover. An average inventory is a better indication.