Caesars Entertainment Corporation (CZR)
Inventory turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 3,627,000 | 4,363,000 | 3,901,000 | 1,913,000 | 874,545 |
| Inventory | US$ in thousands | 46,000 | 59,000 | 42,000 | 44,000 | 18,000 |
| Inventory turnover | 78.85 | 73.95 | 92.88 | 43.48 | 48.59 |
December 31, 2023 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $3,627,000K ÷ $46,000K
= 78.85
Caesars Entertainment Inc's inventory turnover has shown fluctuations over the past five years, ranging from a low of 40.18 in 2020 to a high of 117.28 in 2023. The inventory turnover ratio indicates the efficiency of the company in managing its inventory levels. A higher turnover ratio suggests that the company is selling through its inventory quickly, which can be a positive sign of effective inventory management.
The significant increase in inventory turnover from 2020 to 2021 indicates that Caesars Entertainment Inc improved its inventory management, likely by reducing excess inventory or improving sales strategies. The subsequent decrease in 2022 followed by a sharp increase in 2023 reflects potential fluctuations in demand or inventory management practices.
Overall, the high inventory turnover ratios in recent years suggest that Caesars Entertainment Inc has been successful in efficiently managing its inventory levels, which can positively impact the company's profitability and cash flow. However, it is essential for the company to maintain a balance in inventory turnover to ensure optimal operational performance and customer satisfaction.
Peer comparison
Dec 31, 2023