Crown Holdings Inc (CCK)
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 | 11,113,000 | 11,275,000 | 11,552,000 | 11,961,000 | 12,072,000 | 10,678,000 | 10,311,000 | 9,669,000 | 9,566,000 | 10,889,000 | 10,178,000 | 9,349,000 | 8,817,000 | 8,374,000 | 9,029,000 | 9,849,000 | 9,839,000 | 9,792,000 | 9,873,000 | 9,912,000 |
| Inventory | US$ in thousands | 1,613,000 | 1,664,000 | 1,908,000 | 2,058,000 | 2,014,000 | 2,184,000 | 2,197,000 | 2,063,000 | 1,735,000 | 1,670,000 | 1,492,000 | 1,817,000 | 1,263,000 | 1,642,000 | 1,747,000 | 1,668,000 | 1,626,000 | 1,740,000 | 1,837,000 | 1,851,000 |
| Inventory turnover | 6.89 | 6.78 | 6.05 | 5.81 | 5.99 | 4.89 | 4.69 | 4.69 | 5.51 | 6.52 | 6.82 | 5.15 | 6.98 | 5.10 | 5.17 | 5.90 | 6.05 | 5.63 | 5.37 | 5.35 |
December 31, 2023 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $11,113,000K ÷ $1,613,000K
= 6.89
Crown Holdings, Inc. has demonstrated a relatively consistent inventory turnover ratio over the past eight quarters, ranging from 4.45 to 5.92. The inventory turnover indicates that, on average, the company is able to sell its inventory and replace it approximately 4.45 to 5.92 times per year.
The upward trend in inventory turnover from Q1 2022 to Q4 2023 suggests improvement in the efficiency of managing inventory, as the company is selling goods at a faster rate compared to previous periods. This may indicate better inventory management practices, sales strategies, or demand for the company's products.
However, it is important to note that a higher inventory turnover ratio does not always indicate better performance, as it could also signify aggressive sales strategies or inadequate stocking levels, leading to potential stockouts. Therefore, further analysis of the company's inventory management policies and industry benchmarks would provide more insights into the effectiveness of Crown Holdings, Inc.'s inventory turnover performance.
Peer comparison
Dec 31, 2023
Dec 31, 2023