The North West Co (TSX:NWC) Inventory Turnover : 1.30 (As of Jan. 2024)

View and export this data going back to 1990. Start your Free Trial

What is The North West Co Inventory Turnover?

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. The North West Co's Cost of Goods Sold for the three months ended in Jan. 2024 was C$428 Mil. The North West Co's Average Total Inventories for the quarter that ended in Jan. 2024 was C$330 Mil. The North West Co's Inventory Turnover for the quarter that ended in Jan. 2024 was 1.30.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. The North West Co's Days Inventory for the three months ended in Jan. 2024 was 70.20.

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. The North West Co's Inventory-to-Revenue for the quarter that ended in Jan. 2024 was 0.51.

The North West Co Inventory Turnover Historical Data

The historical data trend for The North West Co's Inventory Turnover can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

The North West Co Inventory Turnover Chart

The North West Co Annual Data

Trend

Jan15

Jan16

Jan17

Jan18

Jan19

Jan20

Jan21

Jan22

Jan23

Jan24

Inventory Turnover

Get a 7-Day Free Trial

5.90

6.67

6.36

5.92

5.47

The North West Co Quarterly Data
	Apr19	Jul19	Oct19	Jan20	Apr20	Jul20	Oct20	Jan21	Apr21	Jul21	Oct21	Jan22	Apr22	Jul22	Oct22	Jan23	Apr23	Jul23	Oct23	Jan24
Inventory Turnover	Get a 7-Day Free Trial															1.39	1.37	1.31	1.22	1.30

The North West Co Inventory Turnover Calculation

The North West Co's Inventory Turnover for the fiscal year that ended in Jan. 2024 is calculated as

	Inventory Turnover (A: Jan. 2024 )
=	Cost of Goods Sold	/	Average Total Inventories
=	Cost of Goods Sold (A: Jan. 2024 )	/ (	(Total Inventories (A: Jan. 2023 )	+	Total Inventories (A: Jan. 2024 ))	/	count )
=	1662.259	/ (	(293.835	+	313.414)	/	2 )
=	1662.259	/	303.6245
=	5.47

The North West Co's Inventory Turnover for the quarter that ended in Jan. 2024 is calculated as

	Inventory Turnover (Q: Jan. 2024 )
=	Cost of Goods Sold	/	Average Total Inventories
=	Cost of Goods Sold (Q: Jan. 2024 )	/ (	(Total Inventories (Q: Oct. 2023 )	+	Total Inventories (Q: Jan. 2024 ))	/	count )
=	428.417	/ (	(345.716	+	313.414)	/	2 )
=	428.417	/	329.565
=	1.30

The North West Co (TSX:NWC) 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.

The North West Co's Days Inventory for the three months ended in Jan. 2024 is calculated as:

Days Inventory	=	Average Total Inventories (Q: Jan. 2024 )	/	Cost of Goods Sold (Q: Jan. 2024 )	*	Days in Period
	=	329.565	/	428.417	*	365 / 4
	=	70.20

2. 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.

The North West Co's Inventory to Revenue for the quarter that ended in Jan. 2024 is calculated as

Inventory-to-Revenue	=	Average Total Inventories (Q: Jan. 2024 )	/	Revenue (Q: Jan. 2024 )
	=	329.565	/	643.109
	=	0.51

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.

The North West Co Inventory Turnover Related Terms

Thank you for viewing the detailed overview of The North West Co's Inventory Turnover provided by GuruFocus.com. Please click on the following links to see related term pages.

The North West Co (TSX:NWC) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Retail - Defensive » The North West Co Inc (TSX:NWC) » Definitions » Inventory Turnover

Comparable Companies

Traded in Other Exchanges

NNWWF:USA 3NW:Germany

Address

77 Main Street, Winnipeg, MB, CAN, R3C 2R1

Website

https://www.northwest.ca

The North West Co Inc is a Canada-based company that is principally engaged in retail business in underserved rural communities and urban neighborhoods. The company provides food, family apparel, housewares, appliances, and outdoor products, with food products accounting for the majority of the company's revenue. The company also offers services, including post offices, income tax return preparation, money transfers, commercial business sales, and others. Its geographical segment includes Canada and International. The company generates maximum revenue from Canada.

The North West Co (TSX:NWC) Headlines

No Headlines