Alamo Group Inc (ALG)
Inventory turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 1,236,010 | 1,137,100 | 999,709 | 869,736 | 845,647 |
| Inventory | US$ in thousands | 377,480 | 352,553 | 320,917 | 242,501 | 267,674 |
| Inventory turnover | 3.27 | 3.23 | 3.12 | 3.59 | 3.16 |
December 31, 2023 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $1,236,010K ÷ $377,480K
= 3.27
The inventory turnover ratio for Alamo Group Inc. has shown some fluctuation over the past five years. In 2023, the inventory turnover ratio was 3.27, a slight increase from the previous year. This suggests that the company's inventory was sold and replaced approximately 3.27 times during the year.
In 2022 and 2021, the inventory turnover ratios were 3.23 and 3.12, respectively. These ratios indicate a relatively consistent level of inventory management efficiency during those years.
However, in 2020, the inventory turnover ratio spiked to 3.79, which indicates that the company was able to sell through its inventory at a faster rate compared to the surrounding years. In contrast, in 2019, the inventory turnover ratio was 3.16, showing a slight decrease compared to the following years.
Overall, Alamo Group Inc.'s inventory turnover has shown some variability but has generally remained within a relatively stable range, indicating a moderate level of efficiency in managing its inventory levels.
Peer comparison
Dec 31, 2023