Darling Ingredients Inc (DAR)
Inventory turnover
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 6,078,890 | 6,269,010 | 6,348,960 | 6,166,520 | 5,887,880 | 5,398,330 | 4,847,230 | 4,465,860 | 4,209,054 | 4,047,534 | 3,826,925 | 3,576,345 | 3,455,263 | 3,283,719 | 3,286,507 | 3,285,876 | 3,268,934 | 3,262,484 | 3,239,995 | 3,247,689 |
| Inventory | US$ in thousands | 758,739 | 822,765 | 825,130 | 828,789 | 673,621 | 641,980 | 578,402 | 491,694 | 457,465 | 476,295 | 428,203 | 420,659 | 405,922 | 406,805 | 394,708 | 381,432 | 362,957 | 353,003 | 348,309 | 339,882 |
| Inventory turnover | 8.01 | 7.62 | 7.69 | 7.44 | 8.74 | 8.41 | 8.38 | 9.08 | 9.20 | 8.50 | 8.94 | 8.50 | 8.51 | 8.07 | 8.33 | 8.61 | 9.01 | 9.24 | 9.30 | 9.56 |
December 31, 2023 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $6,078,890K ÷ $758,739K
= 8.01
The inventory turnover ratio for Darling Ingredients Inc has shown consistency over the past few quarters, ranging from 7.44 to 9.24 times. This indicates that the company is effectively managing its inventory levels and converting its inventory into sales efficiently. A higher inventory turnover ratio generally suggests that the company is selling its products quickly and not holding excess inventory, which can result in lower carrying costs and potential obsolescence risks. It is important to note that while a high inventory turnover ratio is generally positive, it should be analyzed in conjunction with other financial metrics to gain a comprehensive understanding of the company's operational efficiency and financial health.
Peer comparison
Dec 31, 2023
Dec 31, 2023