Columbia Sportswear Company (COLM)

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	1,682,472	1,670,237	1,711,514	1,719,572	1,757,271	1,813,011	1,804,089	1,791,104	1,753,074	1,713,074	1,612,856	1,592,806	1,513,947	1,426,989	1,388,827	1,285,355	1,277,665	1,301,291	1,403,205	1,505,443
Inventory	US$ in thousands	690,515	798,153	823,557	607,373	746,288	885,163	1,162,520	959,234	1,028,540	1,056,900	962,875	714,415	645,379	720,865	676,009	525,704	556,530	771,724	806,887	577,124
Inventory turnover		2.44	2.09	2.08	2.83	2.35	2.05	1.55	1.87	1.70	1.62	1.68	2.23	2.35	1.98	2.05	2.45	2.30	1.69	1.74	2.61

December 31, 2024 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $1,682,472K ÷ $690,515K
= 2.44

Inventory turnover is a key financial ratio that measures how efficiently a company manages its inventory. For Columbia Sportswear Company, the inventory turnover figures from March 31, 2020, to December 31, 2024, show fluctuations in the efficiency of converting inventory into sales.

The trend indicates that the company's inventory turnover initially decreased from 2.61 on March 31, 2020, to 1.69 on September 30, 2020, signaling a slowdown in inventory movement. However, the ratio picked up by December 31, 2020, reaching 2.30, before rising further to 2.45 by March 31, 2021.

Subsequently, the inventory turnover ratio fluctuated between 1.68 and 2.35 over the next few quarters, showcasing variations in managing inventory levels. Notably, there was a notable increase in inventory turnover to 2.83 by March 31, 2024, indicating enhanced efficiency in sales or better inventory management practices.

Overall, the inventory turnover ratio for Columbia Sportswear Company demonstrates variability in inventory management performance over the examined periods. It is essential for the company to monitor and optimize inventory levels to ensure efficient operations and maximize profitability.