Energizer Holdings Inc (ENR)
Inventory turnover
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 2,480,000 | 2,435,900 | 3,037,100 | 2,480,600 | 2,273,900 |
| Inventory | US$ in thousands | 657,300 | 649,700 | 771,600 | 728,300 | 511,300 |
| Inventory turnover | 3.77 | 3.75 | 3.94 | 3.41 | 4.45 |
September 30, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $2,480,000K ÷ $657,300K
= 3.77
Energizer Holdings Inc has shown fluctuations in its inventory turnover ratio over the past five years. The inventory turnover ratio measures how many times a company's inventory is sold and replaced over a period.
In Sep 30, 2020, Energizer had a relatively high inventory turnover rate of 4.45, indicating that the company was managing its inventory efficiently and selling its products quickly. However, the ratio decreased in the following years, reaching the lowest point of 3.41 in Sep 30, 2021. This suggests that the company may have had excess inventory or faced challenges in selling its products during that period.
Subsequently, there was a slight improvement in inventory turnover to 3.94 in Sep 30, 2022, before stabilizing around 3.75 in Sep 30, 2023 and 3.77 in Sep 30, 2024. It is important to note that while a higher turnover ratio is generally preferred as it indicates efficient inventory management, the optimal level can vary depending on the industry and business model.
Overall, Energizer Holdings Inc's inventory turnover has shown some variability, and further analysis of the company's inventory management practices and market conditions may provide additional insights into its operational efficiency.
Peer comparison
Sep 30, 2024