American Axle & Manufacturing (AXL)
Inventory turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 5,383,500 | 5,455,200 | 5,097,500 | 4,433,900 | 4,128,100 |
| Inventory | US$ in thousands | 442,500 | 482,900 | 463,900 | 410,400 | 323,200 |
| Inventory turnover | 12.17 | 11.30 | 10.99 | 10.80 | 12.77 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $5,383,500K ÷ $442,500K
= 12.17
American Axle & Manufacturing's inventory turnover ratio has been fairly consistent over the past five years. In 2020, the inventory turnover was at 12.77 times, indicating that the company sold and replaced its inventory just over 12 times during that year. The ratio decreased slightly to 10.80 times in 2021 but then showed a slight improvement in 2022 and 2023 with ratios of 10.99 times and 11.30 times, respectively.
In 2024, American Axle & Manufacturing experienced a notable increase in inventory turnover to 12.17 times, surpassing the 2020 level. This indicates that the company managed its inventory more efficiently, selling and replenishing stock at a higher rate compared to the previous years.
Overall, the trend in inventory turnover suggests that American Axle & Manufacturing has been effectively managing its inventory levels and turning over its stock efficiently, particularly with the significant improvement seen in 2024.
Peer comparison
Dec 31, 2024