Belden Inc (BDC)
Inventory turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 1,557,120 | 1,690,200 | 1,529,420 | 1,176,570 | 1,337,770 |
| Inventory | US$ in thousands | 366,987 | 341,563 | 345,203 | 247,298 | 231,333 |
| Inventory turnover | 4.24 | 4.95 | 4.43 | 4.76 | 5.78 |
December 31, 2023 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $1,557,120K ÷ $366,987K
= 4.24
The inventory turnover for Belden Inc has shown a decreasing trend over the past five years. The company's inventory turnover ratio was 5.78 in 2019, declining to 4.85 in 2020, further dropping to 4.50 in 2021, and then to 4.95 in 2022. By the end of 2023, the inventory turnover ratio decreased again to 4.24.
A decreasing trend in inventory turnover could indicate that Belden Inc is managing its inventory less efficiently over time, potentially holding onto excess or obsolete inventory. This could result in higher carrying costs and potentially lower profitability. Further analysis of the company's inventory management practices and strategies may be necessary to address this trend and improve operational efficiency.
Peer comparison
Dec 31, 2023