The Boeing Company (BA)
Inventory turnover
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 70,070,000 | 68,893,000 | 68,725,000 | 65,466,000 | 63,106,000 | 62,269,000 | 59,064,000 | 59,099,000 | 59,269,000 | 62,954,000 | 62,493,000 | 60,883,000 | 63,843,000 | 61,559,000 | 65,384,000 | 70,216,000 | 72,093,000 | 75,475,000 | 79,585,000 | 81,311,000 |
| Inventory | US$ in thousands | 10,112,000 | 9,531,000 | 9,651,000 | 9,658,000 | 9,655,000 | 10,225,000 | 10,436,000 | 10,580,000 | 10,717,000 | 10,805,000 | 11,127,000 | 11,660,000 | 11,562,000 | 11,791,000 | 11,800,000 | 11,301,000 | 10,606,000 | 9,761,000 | 9,801,000 | 9,879,000 |
| Inventory turnover | 6.93 | 7.23 | 7.12 | 6.78 | 6.54 | 6.09 | 5.66 | 5.59 | 5.53 | 5.83 | 5.62 | 5.22 | 5.52 | 5.22 | 5.54 | 6.21 | 6.80 | 7.73 | 8.12 | 8.23 |
December 31, 2023 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $70,070,000K ÷ $10,112,000K
= 6.93
Boeing Co.'s inventory turnover has shown fluctuation over the past eight quarters. The inventory turnover ratio measures how many times a company's inventory is sold and replaced over a period. A higher ratio generally indicates that the company is selling its inventory more effectively.
The inventory turnover ratios for Boeing Co. have ranged from 0.74 to 0.88, with the highest ratio recorded at the end of 2023. Although the ratios have fluctuated, it seems that Boeing Co. has been able to maintain a relatively consistent level of inventory turnover over this period.
However, it's important to note that inventory turnover ratios can vary significantly between industries, and a thorough analysis of industry standards is necessary to fully assess Boeing Co.'s performance in this area.
In conclusion, while Boeing Co.'s inventory turnover ratios have shown variability, they appear to be within a reasonable range. It would be beneficial to compare these ratios with industry benchmarks to gauge the company's inventory management efficiency more accurately.
Peer comparison
Dec 31, 2023
Dec 31, 2023