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GWW (W.W. Grainger) Inventory Turnover : 1.14 (As of Dec. 2024)


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What is W.W. Grainger 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. W.W. Grainger's Cost of Goods Sold for the three months ended in Dec. 2024 was $2,557 Mil. W.W. Grainger's Average Total Inventories for the quarter that ended in Dec. 2024 was $2,238 Mil. W.W. Grainger's Inventory Turnover for the quarter that ended in Dec. 2024 was 1.14.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. W.W. Grainger's Days Inventory for the three months ended in Dec. 2024 was 79.87.

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. W.W. Grainger's Inventory-to-Revenue for the quarter that ended in Dec. 2024 was 0.53.


W.W. Grainger Inventory Turnover Historical Data

The historical data trend for W.W. Grainger'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.

W.W. Grainger Inventory Turnover Chart

W.W. Grainger Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Inventory Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.46 4.61 4.55 4.42 4.55

W.W. Grainger Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
Inventory Turnover Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.09 1.16 1.20 1.23 1.14

W.W. Grainger Inventory Turnover Calculation

W.W. Grainger's Inventory Turnover for the fiscal year that ended in Dec. 2024 is calculated as

Inventory Turnover (A: Dec. 2024 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Dec. 2024 ) / ((Total Inventories (A: Dec. 2023 ) + Total Inventories (A: Dec. 2024 )) / count )
=10410 / ((2266 + 2306) / 2 )
=10410 / 2286
=4.55

W.W. Grainger's Inventory Turnover for the quarter that ended in Dec. 2024 is calculated as

Inventory Turnover (Q: Dec. 2024 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Dec. 2024 ) / ((Total Inventories (Q: Sep. 2024 ) + Total Inventories (Q: Dec. 2024 )) / count )
=2557 / ((2170 + 2306) / 2 )
=2557 / 2238
=1.14

* 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.


W.W. Grainger  (NYSE:GWW) 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.

W.W. Grainger's Days Inventory for the three months ended in Dec. 2024 is calculated as:

Days Inventory =Average Total Inventories (Q: Dec. 2024 )/Cost of Goods Sold (Q: Dec. 2024 )*Days in Period
=2238/2557*365 / 4
=79.87

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.

W.W. Grainger's Inventory to Revenue for the quarter that ended in Dec. 2024 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Dec. 2024 ) / Revenue (Q: Dec. 2024 )
=2238 / 4233
=0.53

* 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.


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.


W.W. Grainger Inventory Turnover Related Terms

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W.W. Grainger Business Description

Address
100 Grainger Parkway, Lake Forest, IL, USA, 60045-5201
W.W. Grainger distributes maintenance, repair, and operations products that are sourced from over 5,000 suppliers. The company serves more than 4.5 million customers through its online and electronic purchasing platforms, vending machines, catalog distribution, and network of over 300 global branches.
Executives
Deidra C Merriwether officer: Sr. VP (See Remarks) 100 GRAINGER PARKWAY, LAKE FOREST IL 60045
Laurie R Thomson officer: VP, Controller 100 GRAINGER PARKWAY, LAKE FOREST IL 60045
Berardinelli Krantz Nancy L officer: Sr. VP & CLO 100 GRAINGER PARKWAY, LAKE FOREST IL 60045
Paige K Robbins officer: Sr. VP (see Remarks) 100 GRAINGER PARKWAY, LAKE FOREST IL 60045
Donald G Macpherson director, officer: Chairman and CEO 100 GRAINGER PARKWAY, LAKE FOREST IL 60045
Matt Fortin officer: SVP & Chief HR Officer 100 GRAINGER PARKWAY, LAKE FOREST IL 60045
George S Davis director 100 GRAINGER PARKWAY, LAKE FOREST IL 60045
Stuart L Levenick director 100 NE ADAMS STREET, PEORIA IL 61629
Neil S Novich director RYERSON LTULL INC, 2621 W 15TH PLACE, CHICAGO IL 60603
Katherine D. Jaspon director 130 ROYALL STREET, C/O DUNKIN' BRANDS, INC., CANTON MA 02021
Rodney C Adkins director 55 GLENLAKE PARKWAY, NE, ATLANTA GA 30328
Susan Slavik Williams director 4450 MACARTHUR BLVD., SECOND FLOOR, NEWPORT BEACH CA 92660
Lucas E Watson director 100 GRAINGER PARKWAY, LAKE FOREST IL 60045
Ernest Scott Santi director ILLINOIS TOOL WORKS INC., 155 HARLEM AVE., GLENVIEW IL 60025
Beatriz R Perez director ONE COCA-COLA PLAZA, ATLANTA GA 30313