Inventory Turnover › Drugstore

Drugstore Inventory Turnover Benchmarks 2026

Major US drugstore chains run roughly 11x to 15x blended inventory turnover. Pharmacy dispensing dominates COGS; front-of-store HBA, snacks, and seasonal categories cycle slower.

Named retailer 10-K data

RetailerFiscal YearTurnoverCOGSAvg Inventory
CVS Health(CVS)FY25 (ended Dec 2025)11.8x$221.2B$18.68B
Walgreens Boots Alliance(WBA)FY24 (ended Aug 2024)14.6x$121.1B$8.29B

Per-retailer notes

CVS Health (CVS)

11.8x turnover

Turnover uses the cost of products sold line ($221.2B) against merchandise inventory, excluding Health Care Benefits medical costs. Pharmaceutical inventory in PBM and retail combined turn about 12x blended.

Source: CVS Health 10-K, fiscal 2025

Walgreens Boots Alliance (WBA)

14.6x turnover

Global retail pharmacy. UK Boots arm carries higher front-of-store mix, slightly reducing blended turnover versus US-only operators. Sycamore Partners took WBA private on 28 Aug 2025 (delisted from Nasdaq), so this fiscal 2024 10-K is the last public filing.

Source: Walgreens Boots Alliance 10-K, fiscal 2024 (last filed before going private)

Pharmacy vs front-of-store split

In a typical US drugstore, pharmacy dispensing accounts for 70-75% of revenue but a much smaller share of square footage and SKU count. The 10-K blended turnover masks two very different inventory engines:

  • Rx dispensing. Pharmaceutical inventory turns 25-35x. Daily delivery from McKesson, Cardinal, AmerisourceBergen, plus tight DEA Schedule II controls keep stock weeks low.
  • Front-of-store HBA and general merch. Health and beauty, household, seasonal, and snacks turn 6-10x. Higher safety stock for promotional cadence.

Industry reference: NACDS Industry Profile publishes annual operational ratios for the chain pharmacy segment.

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Updated 2026-06-09