Central Garden & Pet Company A (CENTA)
Inventory turnover
| 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 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 3,069,673 | 3,089,304 | 3,114,031 | 3,138,351 | 3,139,487 | 3,093,103 | 3,089,263 | 3,105,825 | 3,113,752 | 3,130,030 | 3,152,565 | 3,135,682 | 3,065,688 | 2,799,520 | 2,447,109 | 2,112,579 | 1,898,951 | 1,811,317 | 1,727,185 | 1,698,723 |
| Inventory | US$ in thousands | 757,943 | 784,775 | 914,352 | 948,398 | 838,188 | 865,496 | 966,900 | 1,024,360 | 938,000 | 882,522 | 888,051 | 844,899 | 685,237 | 626,635 | 672,901 | 574,878 | 439,615 | 425,919 | 517,207 | 556,479 |
| Inventory turnover | 4.05 | 3.94 | 3.41 | 3.31 | 3.75 | 3.57 | 3.20 | 3.03 | 3.32 | 3.55 | 3.55 | 3.71 | 4.47 | 4.47 | 3.64 | 3.67 | 4.32 | 4.25 | 3.34 | 3.05 |
September 30, 2024 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $3,069,673K ÷ $757,943K
= 4.05
The inventory turnover ratio for Central Garden & Pet Company A has shown fluctuations over the past few years, ranging from a low of 3.03 to a high of 4.47. This ratio indicates how efficiently the company is managing its inventory. A higher inventory turnover ratio generally signifies that the company is selling its inventory quickly and efficiently.
In analyzing the trend, we observe that the inventory turnover ratio has generally been above 3.0, indicating that Central Garden & Pet Company A is effectively managing its inventory. The ratio peaked at 4.47 in the third quarter of 2021 and showed a gradual decline until the first quarter of 2023 before picking up again. The most recent data as of September 30, 2024, shows an inventory turnover ratio of 4.05, suggesting that the company has improved its efficiency in managing inventory compared to the previous quarter.
Overall, the trend in the inventory turnover ratio for Central Garden & Pet Company A indicates that the company has been effectively managing its inventory levels and is efficiently selling its products. It is important for the company to continue monitoring this ratio to ensure optimal inventory management and operational efficiency.
Peer comparison
Sep 30, 2024
Sep 30, 2024