Boyd Gaming Corporation (BYD)

Inventory turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cost of revenue	US$ in thousands	720,837	637,818	642,143	806,089	736,152
Inventory	US$ in thousands	20,692	22,173	20,090	22,616	22,101
Inventory turnover		34.84	28.77	31.96	35.64	33.31

December 31, 2023 calculation

Inventory turnover = Cost of revenue ÷ Inventory
= $720,837K ÷ $20,692K
= 34.84

Boyd Gaming Corp.'s inventory turnover has shown a fluctuating trend over the past five years. In 2023, the inventory turnover ratio increased to 83.12, indicating that the company's inventory was sold and replaced 83.12 times during the year. This represents an improvement compared to the previous year when the ratio was 70.59.

The significant increase in inventory turnover in 2023 suggests that Boyd Gaming Corp. efficiently managed its inventory levels and turned over its inventory at a faster rate, which can be seen as a positive sign of operational efficiency. This improvement may be attributed to effective inventory management practices, supply chain optimization, or changes in customer demand patterns.

Comparing the 2023 ratio with the ratios from 2021 and 2020, Boyd Gaming Corp. has demonstrated a consistent ability to efficiently manage its inventory turnover, with the ratios staying relatively high over these years. However, the 2023 ratio was slightly below the high of 78.56 seen in 2019.

Overall, Boyd Gaming Corp.'s inventory turnover ratio for 2023 reflects a strong performance in managing its inventory levels efficiently, which could lead to improved cash flow and profitability for the company.