EMCOR Group Inc (EME)

Inventory turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cost of revenue	US$ in thousands	10,493,500	9,472,530	8,401,840	7,401,680	7,818,740
Inventory	US$ in thousands	110,774	85,641	54,098	53,338	40,446
Inventory turnover		94.73	110.61	155.31	138.77	193.31

December 31, 2023 calculation

Inventory turnover = Cost of revenue ÷ Inventory
= $10,493,500K ÷ $110,774K
= 94.73

Emcor Group, Inc.'s inventory turnover has shown a decreasing trend over the past five years. The inventory turnover ratio decreased from 193.31 in 2019 to 94.73 in 2023. This indicates that the company is selling its inventory at a slower rate compared to previous years. A lower inventory turnover ratio may suggest inefficiencies in managing inventory levels or challenges in selling products quickly. Emcor Group, Inc. should focus on improving inventory management practices to optimize working capital and enhance operational efficiency.

Peer comparison

Dec 31, 2023

Company name

Symbol

Inventory turnover

EMCOR Group Inc

EME

94.73

Comfort Systems USA Inc