AutoNation Inc (AN)
Inventory turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 21,980,000 | 21,817,400 | 21,719,700 | 20,891,400 | 16,823,600 |
| Inventory | US$ in thousands | 3,360,000 | 3,033,400 | 2,048,300 | 1,847,900 | 2,598,500 |
| Inventory turnover | 6.54 | 7.19 | 10.60 | 11.31 | 6.47 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $21,980,000K ÷ $3,360,000K
= 6.54
AutoNation Inc's inventory turnover has shown fluctuations over the years. It increased from 6.47 in December 31, 2020, to 11.31 in December 31, 2021, indicating a significant improvement in inventory management efficiency. Subsequently, the turnover ratio slightly decreased to 10.60 in December 31, 2022, and further dropped to 7.19 in December 31, 2023. In the most recent period, December 31, 2024, the inventory turnover was 6.54, signaling a moderate decrease compared to the previous year.
Overall, AutoNation Inc's inventory turnover ratios suggest varying levels of efficiency in managing its inventory during the specified years, with notable improvements followed by some decreases. These fluctuations may reflect changes in sales volume, inventory levels, or the company's inventory management strategies. The company's management should continue monitoring and optimizing inventory turnover to ensure effective utilization of resources and maximize profitability.
Peer comparison
Dec 31, 2024