Analysis of Short-term (Operating) Activity Ratios
Activity ratios measure how efficiently a company performs day-to-day tasks, such us the collection of receivables and management of inventory.
Short-term Activity Ratios (Summary)
lululemon athletica inc., short-term (operating) activity ratios
Based on: 10-K (reporting date: 2024-01-28), 10-K (reporting date: 2023-01-29), 10-K (reporting date: 2022-01-30), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-02-02), 10-K (reporting date: 2019-02-03).
| Short-term activity ratio | Description | The company |
|---|---|---|
| Inventory turnover | An activity ratio calculated as cost of goods sold divided by inventory. | lululemon athletica inc. inventory turnover ratio deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level. |
| Receivables turnover | An activity ratio equal to revenue divided by receivables. | lululemon athletica inc. receivables turnover ratio deteriorated from 2022 to 2023 but then improved from 2023 to 2024 not reaching 2022 level. |
| Payables turnover | An activity ratio calculated as cost of goods sold divided by payables. | lululemon athletica inc. payables turnover ratio increased from 2022 to 2023 but then slightly decreased from 2023 to 2024 not reaching 2022 level. |
| Working capital turnover | An activity ratio calculated as revenue divided by working capital. | lululemon athletica inc. working capital turnover ratio deteriorated from 2022 to 2023 and from 2023 to 2024. |
| Short-term activity ratio | Description | The company |
|---|---|---|
| Average inventory processing period | An activity ratio equal to the number of days in the period divided by inventory turnover over the period. | lululemon athletica inc. number of days of inventory outstanding deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level. |
| Average receivable collection period | An activity ratio equal to the number of days in the period divided by receivables turnover. | |
| Operating cycle | Equal to average inventory processing period plus average receivables collection period. | lululemon athletica inc. operating cycle deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level. |
| Average payables payment period | An estimate of the average number of days it takes a company to pay its suppliers; equal to the number of days in the period divided by payables turnover ratio for the period. | lululemon athletica inc. number of days of payables outstanding decreased from 2022 to 2023 but then increased from 2023 to 2024 not reaching 2022 level. |
| Cash conversion cycle | A financial metric that measures the length of time required for a company to convert cash invested in its operations to cash received as a result of its operations; equal to average inventory processing period plus average receivables collection period minus average payables payment period. | lululemon athletica inc. cash conversion cycle deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level. |
Inventory Turnover
lululemon athletica inc., inventory turnover calculation, comparison to benchmarks
| Jan 28, 2024 | Jan 29, 2023 | Jan 30, 2022 | Jan 31, 2021 | Feb 2, 2020 | Feb 3, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Cost of goods sold | 4,009,873) | 3,618,178) | 2,648,052) | 1,937,888) | 1,755,910) | 1,472,032) | |
| Inventories | 1,323,602) | 1,447,367) | 966,481) | 647,230) | 518,513) | 404,842) | |
| Short-term Activity Ratio | |||||||
| Inventory turnover1 | 3.03 | 2.50 | 2.74 | 2.99 | 3.39 | 3.64 | |
| Benchmarks | |||||||
| Inventory Turnover, Competitors2 | |||||||
| Nike Inc. | — | 3.42 | 3.00 | 3.59 | 2.87 | 3.85 | |
| Inventory Turnover, Sector | |||||||
| Consumer Durables & Apparel | — | 3.29 | 2.97 | 3.53 | 2.91 | 3.84 | |
| Inventory Turnover, Industry | |||||||
| Consumer Discretionary | — | 7.06 | 6.74 | 7.06 | 7.55 | 7.84 | |
Based on: 10-K (reporting date: 2024-01-28), 10-K (reporting date: 2023-01-29), 10-K (reporting date: 2022-01-30), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-02-02), 10-K (reporting date: 2019-02-03).
1 2024 Calculation
Inventory turnover = Cost of goods sold ÷ Inventories
= 4,009,873 ÷ 1,323,602 = 3.03
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Inventory turnover | An activity ratio calculated as cost of goods sold divided by inventory. | lululemon athletica inc. inventory turnover ratio deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level. |
Receivables Turnover
lululemon athletica inc., receivables turnover calculation, comparison to benchmarks
| Jan 28, 2024 | Jan 29, 2023 | Jan 30, 2022 | Jan 31, 2021 | Feb 2, 2020 | Feb 3, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Net revenue | 9,619,278) | 8,110,518) | 6,256,617) | 4,401,879) | 3,979,296) | 3,288,319) | |
| Accounts receivable, net | 124,769) | 132,906) | 77,001) | 62,399) | 40,219) | 35,786) | |
| Short-term Activity Ratio | |||||||
| Receivables turnover1 | 77.10 | 61.02 | 81.25 | 70.54 | 98.94 | 91.89 | |
| Benchmarks | |||||||
| Receivables Turnover, Competitors2 | |||||||
| Nike Inc. | — | 12.40 | 10.01 | 9.98 | 13.61 | 9.16 | |
| Receivables Turnover, Sector | |||||||
| Consumer Durables & Apparel | — | 13.91 | 11.16 | 10.81 | 14.84 | 9.84 | |
| Receivables Turnover, Industry | |||||||
| Consumer Discretionary | — | 17.99 | 18.02 | 21.14 | 21.80 | 21.73 | |
Based on: 10-K (reporting date: 2024-01-28), 10-K (reporting date: 2023-01-29), 10-K (reporting date: 2022-01-30), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-02-02), 10-K (reporting date: 2019-02-03).
1 2024 Calculation
Receivables turnover = Net revenue ÷ Accounts receivable, net
= 9,619,278 ÷ 124,769 = 77.10
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Receivables turnover | An activity ratio equal to revenue divided by receivables. | lululemon athletica inc. receivables turnover ratio deteriorated from 2022 to 2023 but then improved from 2023 to 2024 not reaching 2022 level. |
Payables Turnover
lululemon athletica inc., payables turnover calculation, comparison to benchmarks
| Jan 28, 2024 | Jan 29, 2023 | Jan 30, 2022 | Jan 31, 2021 | Feb 2, 2020 | Feb 3, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Cost of goods sold | 4,009,873) | 3,618,178) | 2,648,052) | 1,937,888) | 1,755,910) | 1,472,032) | |
| Accounts payable | 348,441) | 172,732) | 289,728) | 172,246) | 79,997) | 95,533) | |
| Short-term Activity Ratio | |||||||
| Payables turnover1 | 11.51 | 20.95 | 9.14 | 11.25 | 21.95 | 15.41 | |
| Benchmarks | |||||||
| Payables Turnover, Competitors2 | |||||||
| Nike Inc. | — | 10.11 | 7.51 | 8.67 | 9.41 | 8.29 | |
| Payables Turnover, Sector | |||||||
| Consumer Durables & Apparel | — | 10.72 | 7.64 | 8.81 | 9.84 | 8.54 | |
| Payables Turnover, Industry | |||||||
| Consumer Discretionary | — | 5.23 | 4.84 | 4.67 | 4.77 | 5.59 | |
Based on: 10-K (reporting date: 2024-01-28), 10-K (reporting date: 2023-01-29), 10-K (reporting date: 2022-01-30), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-02-02), 10-K (reporting date: 2019-02-03).
1 2024 Calculation
Payables turnover = Cost of goods sold ÷ Accounts payable
= 4,009,873 ÷ 348,441 = 11.51
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Payables turnover | An activity ratio calculated as cost of goods sold divided by payables. | lululemon athletica inc. payables turnover ratio increased from 2022 to 2023 but then slightly decreased from 2023 to 2024 not reaching 2022 level. |
Working Capital Turnover
lululemon athletica inc., working capital turnover calculation, comparison to benchmarks
| Jan 28, 2024 | Jan 29, 2023 | Jan 30, 2022 | Jan 31, 2021 | Feb 2, 2020 | Feb 3, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Current assets | 4,060,577) | 3,159,453) | 2,614,853) | 2,124,379) | 1,807,938) | 1,429,282) | |
| Less: Current liabilities | 1,631,261) | 1,492,198) | 1,405,334) | 883,178) | 620,418) | 500,477) | |
| Working capital | 2,429,316) | 1,667,255) | 1,209,519) | 1,241,201) | 1,187,520) | 928,805) | |
| Net revenue | 9,619,278) | 8,110,518) | 6,256,617) | 4,401,879) | 3,979,296) | 3,288,319) | |
| Short-term Activity Ratio | |||||||
| Working capital turnover1 | 3.96 | 4.86 | 5.17 | 3.55 | 3.35 | 3.54 | |
| Benchmarks | |||||||
| Working Capital Turnover, Competitors2 | |||||||
| Nike Inc. | — | 3.21 | 2.67 | 2.68 | 3.05 | 4.52 | |
| Working Capital Turnover, Sector | |||||||
| Consumer Durables & Apparel | — | 3.37 | 2.83 | 2.74 | 3.07 | 4.42 | |
| Working Capital Turnover, Industry | |||||||
| Consumer Discretionary | — | 16.27 | 19.61 | 11.06 | 13.40 | 33.38 | |
Based on: 10-K (reporting date: 2024-01-28), 10-K (reporting date: 2023-01-29), 10-K (reporting date: 2022-01-30), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-02-02), 10-K (reporting date: 2019-02-03).
1 2024 Calculation
Working capital turnover = Net revenue ÷ Working capital
= 9,619,278 ÷ 2,429,316 = 3.96
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Working capital turnover | An activity ratio calculated as revenue divided by working capital. | lululemon athletica inc. working capital turnover ratio deteriorated from 2022 to 2023 and from 2023 to 2024. |
Average Inventory Processing Period
lululemon athletica inc., average inventory processing period calculation, comparison to benchmarks
| Jan 28, 2024 | Jan 29, 2023 | Jan 30, 2022 | Jan 31, 2021 | Feb 2, 2020 | Feb 3, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||
| Inventory turnover | 3.03 | 2.50 | 2.74 | 2.99 | 3.39 | 3.64 | |
| Short-term Activity Ratio (no. days) | |||||||
| Average inventory processing period1 | 120 | 146 | 133 | 122 | 108 | 100 | |
| Benchmarks (no. days) | |||||||
| Average Inventory Processing Period, Competitors2 | |||||||
| Nike Inc. | — | 107 | 122 | 102 | 127 | 95 | |
| Average Inventory Processing Period, Sector | |||||||
| Consumer Durables & Apparel | — | 111 | 123 | 103 | 126 | 95 | |
| Average Inventory Processing Period, Industry | |||||||
| Consumer Discretionary | — | 52 | 54 | 52 | 48 | 47 | |
Based on: 10-K (reporting date: 2024-01-28), 10-K (reporting date: 2023-01-29), 10-K (reporting date: 2022-01-30), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-02-02), 10-K (reporting date: 2019-02-03).
1 2024 Calculation
Average inventory processing period = 365 ÷ Inventory turnover
= 365 ÷ 3.03 = 120
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Average inventory processing period | An activity ratio equal to the number of days in the period divided by inventory turnover over the period. | lululemon athletica inc. number of days of inventory outstanding deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level. |
Average Receivable Collection Period
lululemon athletica inc., average receivable collection period calculation, comparison to benchmarks
| Jan 28, 2024 | Jan 29, 2023 | Jan 30, 2022 | Jan 31, 2021 | Feb 2, 2020 | Feb 3, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||
| Receivables turnover | 77.10 | 61.02 | 81.25 | 70.54 | 98.94 | 91.89 | |
| Short-term Activity Ratio (no. days) | |||||||
| Average receivable collection period1 | 5 | 6 | 4 | 5 | 4 | 4 | |
| Benchmarks (no. days) | |||||||
| Average Receivable Collection Period, Competitors2 | |||||||
| Nike Inc. | — | 29 | 36 | 37 | 27 | 40 | |
| Average Receivable Collection Period, Sector | |||||||
| Consumer Durables & Apparel | — | 26 | 33 | 34 | 25 | 37 | |
| Average Receivable Collection Period, Industry | |||||||
| Consumer Discretionary | — | 20 | 20 | 17 | 17 | 17 | |
Based on: 10-K (reporting date: 2024-01-28), 10-K (reporting date: 2023-01-29), 10-K (reporting date: 2022-01-30), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-02-02), 10-K (reporting date: 2019-02-03).
1 2024 Calculation
Average receivable collection period = 365 ÷ Receivables turnover
= 365 ÷ 77.10 = 5
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Average receivable collection period | An activity ratio equal to the number of days in the period divided by receivables turnover. |
Operating Cycle
lululemon athletica inc., operating cycle calculation, comparison to benchmarks
No. days
| Jan 28, 2024 | Jan 29, 2023 | Jan 30, 2022 | Jan 31, 2021 | Feb 2, 2020 | Feb 3, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||
| Average inventory processing period | 120 | 146 | 133 | 122 | 108 | 100 | |
| Average receivable collection period | 5 | 6 | 4 | 5 | 4 | 4 | |
| Short-term Activity Ratio | |||||||
| Operating cycle1 | 125 | 152 | 137 | 127 | 112 | 104 | |
| Benchmarks | |||||||
| Operating Cycle, Competitors2 | |||||||
| Nike Inc. | — | 136 | 158 | 139 | 154 | 135 | |
| Operating Cycle, Sector | |||||||
| Consumer Durables & Apparel | — | 137 | 156 | 137 | 151 | 132 | |
| Operating Cycle, Industry | |||||||
| Consumer Discretionary | — | 72 | 74 | 69 | 65 | 64 | |
Based on: 10-K (reporting date: 2024-01-28), 10-K (reporting date: 2023-01-29), 10-K (reporting date: 2022-01-30), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-02-02), 10-K (reporting date: 2019-02-03).
1 2024 Calculation
Operating cycle = Average inventory processing period + Average receivable collection period
= 120 + 5 = 125
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Operating cycle | Equal to average inventory processing period plus average receivables collection period. | lululemon athletica inc. operating cycle deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level. |
Average Payables Payment Period
lululemon athletica inc., average payables payment period calculation, comparison to benchmarks
| Jan 28, 2024 | Jan 29, 2023 | Jan 30, 2022 | Jan 31, 2021 | Feb 2, 2020 | Feb 3, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||
| Payables turnover | 11.51 | 20.95 | 9.14 | 11.25 | 21.95 | 15.41 | |
| Short-term Activity Ratio (no. days) | |||||||
| Average payables payment period1 | 32 | 17 | 40 | 32 | 17 | 24 | |
| Benchmarks (no. days) | |||||||
| Average Payables Payment Period, Competitors2 | |||||||
| Nike Inc. | — | 36 | 49 | 42 | 39 | 44 | |
| Average Payables Payment Period, Sector | |||||||
| Consumer Durables & Apparel | — | 34 | 48 | 41 | 37 | 43 | |
| Average Payables Payment Period, Industry | |||||||
| Consumer Discretionary | — | 70 | 75 | 78 | 76 | 65 | |
Based on: 10-K (reporting date: 2024-01-28), 10-K (reporting date: 2023-01-29), 10-K (reporting date: 2022-01-30), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-02-02), 10-K (reporting date: 2019-02-03).
1 2024 Calculation
Average payables payment period = 365 ÷ Payables turnover
= 365 ÷ 11.51 = 32
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Average payables payment period | An estimate of the average number of days it takes a company to pay its suppliers; equal to the number of days in the period divided by payables turnover ratio for the period. | lululemon athletica inc. number of days of payables outstanding decreased from 2022 to 2023 but then increased from 2023 to 2024 not reaching 2022 level. |
Cash Conversion Cycle
lululemon athletica inc., cash conversion cycle calculation, comparison to benchmarks
No. days
| Jan 28, 2024 | Jan 29, 2023 | Jan 30, 2022 | Jan 31, 2021 | Feb 2, 2020 | Feb 3, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||
| Average inventory processing period | 120 | 146 | 133 | 122 | 108 | 100 | |
| Average receivable collection period | 5 | 6 | 4 | 5 | 4 | 4 | |
| Average payables payment period | 32 | 17 | 40 | 32 | 17 | 24 | |
| Short-term Activity Ratio | |||||||
| Cash conversion cycle1 | 93 | 135 | 97 | 95 | 95 | 80 | |
| Benchmarks | |||||||
| Cash Conversion Cycle, Competitors2 | |||||||
| Nike Inc. | — | 100 | 109 | 97 | 115 | 91 | |
| Cash Conversion Cycle, Sector | |||||||
| Consumer Durables & Apparel | — | 103 | 108 | 96 | 114 | 89 | |
| Cash Conversion Cycle, Industry | |||||||
| Consumer Discretionary | — | 2 | -1 | -9 | -11 | -1 | |
Based on: 10-K (reporting date: 2024-01-28), 10-K (reporting date: 2023-01-29), 10-K (reporting date: 2022-01-30), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-02-02), 10-K (reporting date: 2019-02-03).
1 2024 Calculation
Cash conversion cycle = Average inventory processing period + Average receivable collection period – Average payables payment period
= 120 + 5 – 32 = 93
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Cash conversion cycle | A financial metric that measures the length of time required for a company to convert cash invested in its operations to cash received as a result of its operations; equal to average inventory processing period plus average receivables collection period minus average payables payment period. | lululemon athletica inc. cash conversion cycle deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level. |