INVENTORY & WORKING CAPITAL · SEPTEMBER 12, 2026
Wholesale Sales Rise 0.8% as Inventories Increase 1.3%
The Census Bureau estimated July merchant-wholesaler sales at $801.3 billion and inventories at $958.9 billion, with the inventory-to-sales ratio declining to 1.20 from 1.28 a year earlier.
What the September 10 report shows
Source publication date: September 10, 2026. The Census Bureau estimated seasonally adjusted July sales of merchant wholesalers, excluding manufacturers' sales branches and offices, at $801.3 billion. Sales were 0.8% above the revised June level and 13.0% above revised July 2025. The estimates are not adjusted for price changes.
- 01Sales rose 0.8% monthly
- 02Inventories rose 1.3% monthly
- 03Test turns and availability
Inventories grew faster than monthly sales
Total merchant-wholesaler inventories were estimated at $958.9 billion at the end of July, up 1.3% from revised June and 5.7% from revised July 2025. The seasonally adjusted inventory-to-sales ratio was 1.20, compared with 1.28 one year earlier. These aggregates combine different wholesale industries and can be influenced by price, mix, and timing.
Why the mix matters to working-capital underwriting
A distributor can need more cash even when the national ratio falls if it is building seasonal stock, absorbing supplier price increases, carrying slow-moving items, or waiting longer for customers to pay. A lender may test inventory eligibility, appraisal values, turns, aging, obsolescence, vendor concentration, purchase commitments, gross margin, dilution, receivable collections, and the amount of the line that can revolve through the operating cycle.
Practical borrower takeaway
Reconcile the inventory ledger to the balance sheet and borrowing-base certificate, then segment stock by product, location, age, velocity, and lender eligibility. Link open purchase orders, sales backlog, accounts-receivable aging, and expected collections in a weekly cash forecast. Stress-test slower sales, lower margins, delayed collections, and reduced advance rates before selecting a revolving line, term loan, or equity contribution.
Wholesalers and distributors should size working-capital requests from company-specific inventory turns, gross margin, purchase commitments, receivable collections, availability rules, and downside cash needs—not industry totals alone.
Discuss a financing need →This independent summary is based on the cited source and is provided for general educational purposes only. Terms and program requirements may change.