Crown Holdings Inc (CCK)
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 | 11,268,000 | 11,373,000 | 10,880,000 | 10,948,000 | 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 |
| Inventory | US$ in thousands | 1,440,000 | 1,565,000 | 1,526,000 | 1,610,000 | 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 |
| Inventory turnover | 7.82 | 7.27 | 7.13 | 6.80 | 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 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $11,268,000K ÷ $1,440,000K
= 7.82
Crown Holdings Inc's inventory turnover has shown some fluctuations over the period from March 31, 2020, to December 31, 2024. The inventory turnover ratio measures the number of times a company sells and replaces its inventory within a given period. A higher inventory turnover is generally preferred, as it indicates efficient inventory management and a quicker conversion of inventory into sales.
The data reveals that Crown Holdings Inc's inventory turnover ranged from a low of 4.69 in March 31, 2022, and June 30, 2022, to a high of 7.82 in December 31, 2024. It is noteworthy that the trend of the inventory turnover ratio shows an overall improvement during the latter years of the period, demonstrating enhanced efficiency in managing inventory levels.
Analyzing the inventory turnover helps stakeholders assess how well Crown Holdings Inc is managing its inventory levels. A consistently high inventory turnover signifies that the company is effectively managing its inventory and quickly converting it into sales. Conversely, a declining inventory turnover may suggest overstocking or slowing sales, indicating potential inefficiencies in inventory management.
Overall, the upward trend in Crown Holdings Inc's inventory turnover indicates improved efficiency in managing its inventory, which bodes well for the company's operational performance and financial health. However, it is essential to monitor this metric regularly to ensure that inventory levels remain optimal for the company's business operations.
Peer comparison
Dec 31, 2024
Dec 31, 2024