Crescent Energy Co (CRGY)

Inventory turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Cost of revenue	US$ in thousands	528,822	1,078,340	438,753	243,501	202,180
Inventory	US$ in thousands	—	94,727	40,286	0	442
Inventory turnover		—	11.38	10.89	—	457.42

December 31, 2024 calculation

Inventory turnover = Cost of revenue ÷ Inventory
= $528,822K ÷ $—K
= —

To analyze Crescent Energy Co's inventory turnover, we examine the turnover ratios over the years provided. Inventory turnover measures how efficiently a company manages its inventory by showing how many times the inventory is sold and replaced during a specific period.

In 2020, Crescent Energy Co reported a significantly high inventory turnover of 457.42, indicating the company sold and replaced its inventory more than 457 times during that year. This could suggest efficient inventory management or a rapid turnover of products.

However, there is missing data for the inventory turnover ratio in 2021 and 2024. The absence of figures for these years could be due to various reasons such as data unavailability or a significant shift in the company's operations or accounting practices.

In 2022, the inventory turnover ratio dropped to 10.89, indicating a substantial decrease compared to the exceptionally high turnover in 2020. This decline could signal potential issues with inventory management, such as excess inventory or slowing sales.

By 2023, the inventory turnover ratio increased slightly to 11.38, indicating a modest improvement from the previous year. This uptick suggests some level of optimization in managing inventory, demonstrating a more balanced approach.

In conclusion, while the inventory turnover for Crescent Energy Co has shown fluctuations over the years, it is essential for the company to monitor and optimize its inventory management practices to ensure efficiency and profitability.