Boise Cascad Llc (BCC)
Inventory turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 6,103,580 | 7,140,520 | 6,876,800 | 5,060,590 | 4,433,020 |
| Inventory | US$ in thousands | 712,369 | 697,551 | 660,671 | 503,480 | 497,596 |
| Inventory turnover | 8.57 | 10.24 | 10.41 | 10.05 | 8.91 |
December 31, 2023 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $6,103,580K ÷ $712,369K
= 8.57
From the provided data, we can observe the inventory turnover of Boise Cascade Co for the past five years. Inventory turnover measures how efficiently a company manages its inventory by indicating how many times the company sells and replaces its inventory during a specific period.
In 2023, Boise Cascade Co's inventory turnover was 7.59, which represents a decrease from the previous year's figure of 9.28 in 2022. Despite the slight decline, a higher inventory turnover ratio indicates that the company is selling its inventory more frequently, which can be seen as a positive sign of efficiency in inventory management.
Comparing the figures to 2021, it is evident that there was a slight decrease from 9.54 to 9.28 in 2022. The company maintained a relatively stable inventory turnover ratio during these years, reflecting consistent inventory management practices.
However, it is worth noting that Boise Cascade Co reported zero inventory turnover in both 2020 and 2019. A zero inventory turnover ratio in these years could indicate that the company may have had issues with managing its inventory efficiently, possibly leading to excess or obsolete inventory levels.
Overall, Boise Cascade Co's inventory turnover has shown fluctuation over the past five years, with varying levels of efficiency in managing its inventory. Continued monitoring and analysis of inventory turnover ratios will be crucial for assessing the company's effectiveness in managing its inventory going forward.
Peer comparison
Dec 31, 2023