Adient PLC (ADNT)
Inventory turnover
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 13,760,000 | 14,362,000 | 13,314,000 | 12,854,000 | 12,078,000 |
| Inventory | US$ in thousands | 758,000 | 841,000 | 953,000 | 976,000 | 685,000 |
| Inventory turnover | 18.15 | 17.08 | 13.97 | 13.17 | 17.63 |
September 30, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $13,760,000K ÷ $758,000K
= 18.15
Inventory turnover measures how efficiently a company manages its inventory by assessing how many times during a specific period it sells and replaces its inventory. In the case of Adient PLC, the inventory turnover has generally been improving over the last five years, with a significant increase from 13.17 in 2021 to 18.15 in 2024. This indicates that Adient has been able to sell and replace its inventory more frequently, which can be a positive signal of efficient inventory management. However, it is important to note that inventory turnover can vary by industry, so it is essential to compare Adient's ratio with industry peers to get a better understanding of its performance.
Peer comparison
Sep 30, 2024