Brinks Company (BCO)

Inventory turnover

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Cost of revenue (ttm)	US$ in thousands	3,743,100	3,730,600	3,708,000	3,714,000	3,707,100	3,659,100	3,618,800	3,542,500	3,461,900	3,408,100	3,365,000	3,316,700	3,235,800	3,172,700	3,078,000	2,942,700	2,877,300	2,826,700	2,798,200	2,822,800
Inventory	US$ in thousands	24,300	—	-15,800	557,900	18,800	387,000	-342,700	49,000	—	-7,200	-12,800	—	333,400	-212,100	—	-215,100	279,100	—	0	-183,600
Inventory turnover		154.04	—	—	6.66	197.19	9.46	—	72.30	—	—	—	—	9.71	—	—	—	10.31	—	—	—

December 31, 2024 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $3,743,100K ÷ $24,300K
= 154.04

Based on the provided data, Brinks Company's inventory turnover has shown fluctuations over the indicated periods. The inventory turnover ratio measures how efficiently the company is managing its inventory by indicating the number of times inventory is sold and replaced over a specific period.

In December 2020, the inventory turnover ratio was 10.31, indicating that the company turned over its inventory approximately 10.31 times during that period. This suggests a relatively efficient management of inventory during that time.

Subsequently, in December 2021, the inventory turnover ratio decreased to 9.71, implying that inventory turnover slightly decreased compared to the previous period. However, it remained relatively stable, indicating continued efficiency in managing inventory.

A significant spike in inventory turnover was observed in March 2023, with a ratio of 72.30, suggesting a rapid turnover of inventory compared to previous periods. This sharp increase could be due to various factors like strong sales, efficient inventory management, or a reduction in excess inventory levels.

In December 2023, the inventory turnover ratio increased further to 197.19, indicating an even higher turnover rate, potentially reflecting continued efficiency in managing inventory or a possible reduction in inventory levels.

However, a decline in inventory turnover was noted in March 2024, with a ratio of 6.66, suggesting a slower turnover of inventory during that period compared to the peak turnover in December 2023.

Overall, Brinks Company's inventory turnover has shown variability over the periods provided, with some periods indicating efficient inventory management and others suggesting a slower turnover rate. It is essential for the company to analyze the reasons behind these fluctuations to ensure optimal inventory management practices and operational efficiency.