PC Connection Inc (CNXN)
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 | 2,717,625 | 2,699,921 | 2,666,275 | 2,667,681 | 2,757,458 | 2,797,258 | 2,879,922 | 2,966,826 | 3,016,423 | 3,076,808 | 3,056,822 | 2,943,544 | 2,808,280 | 2,692,301 | 2,600,822 | 2,459,149 | 2,527,559 | 2,558,656 | 2,623,028 | 2,793,372 |
| Inventory | US$ in thousands | 95,054 | 113,691 | 136,613 | 123,900 | 124,179 | 142,243 | 159,734 | 199,317 | 208,682 | 213,316 | 223,158 | 234,601 | 206,555 | 175,374 | 167,079 | 140,534 | 140,867 | 134,689 | 165,632 | 136,985 |
| Inventory turnover | 28.59 | 23.75 | 19.52 | 21.53 | 22.21 | 19.67 | 18.03 | 14.88 | 14.45 | 14.42 | 13.70 | 12.55 | 13.60 | 15.35 | 15.57 | 17.50 | 17.94 | 19.00 | 15.84 | 20.39 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $2,717,625K ÷ $95,054K
= 28.59
PC Connection Inc's inventory turnover has shown fluctuations over the periods provided. The inventory turnover ratio, which measures how many times a company's inventory is sold and replaced over a certain period, declined from 20.39 on March 31, 2020, to 15.84 on June 30, 2020. This decrease may indicate slower sales or overstocking of inventory during that period.
Subsequently, the ratio improved to 19.00 on September 30, 2020, suggesting better management of inventory levels. However, it dipped to 17.94 on December 31, 2020. The trend continued with slight variations in the following quarters, with ratios ranging between 12.55 and 19.67 up to September 30, 2023.
Notably, from December 31, 2023, the inventory turnover ratio started to show a significant upward trend, reaching 28.59 on December 31, 2024. This substantial increase may indicate effective inventory management, quicker selling of goods, or a reduction in excess inventory.
Overall, the analysis of PC Connection Inc's inventory turnover shows varying performance over the quarters, with improvements seen in recent periods, suggesting potential enhancements in operational efficiency and inventory management strategies.
Peer comparison
Dec 31, 2024
Dec 31, 2024