Monthly management report
Fenwick & Hale Mercantile
Inventory turns slipped to 4.9x from 5.4x annualized — the early summer assortment landed ahead of the season and DIO rose to 74 days, tying up ~$140K of cash in stock that won't sell through until the June promotional window.
What determined the result
- Gross margin eased to 44% from 46% — clearance markdowns on the carryover winter SKUs ran deeper than planned. The worker called it a one-time clean-out; the supervisor flagged a buying-depth pattern on seasonal lines, so it routed to your inbox.
- Transactions held at 18,600 vs the 18,100 plan — the loyalty relaunch lifted repeat visit frequency and the third location's ramp added ~500 transactions without cannibalizing the flagship.
02
Monthly economics
Revenue
$1,040,000Direct costs
$582,400Operating expenses
$379,600If the source has no item dimension, the line stays grouped by ledger account; product nomenclature is not required.
03
Cash and working capital
13-week cash outlook
$620,000 → $295,940
Low point: $201,203 · week 6| Week | Receipts | Payments | Ending cash |
|---|---|---|---|
| 1 | $240,185 | $309,984 | $550,201 |
| 2 | $240,185 | $309,984 | $480,401 |
| 3 | $240,185 | $309,984 | $410,602 |
| 4 | $240,185 | $309,984 | $340,802 |
| 5 | $240,185 | $309,984 | $271,003 |
| 6 | $240,185 | $309,984 | $201,203 |
Next-month performance risks
1Inventory turns slipped to 4.9x from 5.4x annualized — the early summer assortment landed ahead of the season and DIO rose to 74 days, tying up ~$140K of cash in stock that won't sell through until the June promotional window.
2Gross margin eased to 44% from 46% — clearance markdowns on the carryover winter SKUs ran deeper than planned. The worker called it a one-time clean-out; the supervisor flagged a buying-depth pattern on seasonal lines, so it routed to your inbox.
Decisions & follow-ups
Inventory turns slipped to 4.9x from 5.4x annualized — the early summer assortment landed ahead of the season and DIO rose to 74 days, tying up ~$140K of cash in stock that won't sell through until the June promotional window.
You · 05 Jun 2026mark down the slow spring assortment and shift open-to-buy to the fast SKUs to lift turns off the seasonal low.
Hale Mercantile buying team · 19 Jun 2026