Inventory Turnover Calculator
Enter the cost of goods sold for the period and your stock value at the start and end.
Formulas
- Average inventory = (start + end) ÷ 2.
- Inventory turnover = cost of goods sold ÷ average inventory — how many times stock is sold and replaced in the period.
- Days of inventory = days in the period ÷ turnover — how long stock sits before it sells.
With 9,000,000 COGS and an average stock of 1,500,000, turnover is 6 a year — stock is sold about every 61 days.
Is it good?
It depends on the trade: grocery and pharmacy stock turns fast (often 10+ times a year), furniture and machinery slowly. Compare with your own past figures and similar businesses. Low turnover can mean dead stock and cash tied up; very high turnover can mean frequent stock-outs. Use cost of goods sold, not sales, so both numbers are at cost.
How it works
- Enter — type or paste your values or text.
- Get the result — it is worked out in your browser.
- Adjust — change the inputs to compare, or copy the result.
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