Enersys (ENS)
Inventory turnover
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | Jul 5, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 2,523,738 | 2,508,796 | 2,513,720 | 2,543,611 | 2,598,766 | 2,686,457 | 2,780,999 | 2,822,587 | 2,867,760 | 2,836,280 | 2,788,506 | 2,699,039 | 2,607,277 | 2,511,077 | 2,413,164 | 2,330,471 | 1,708,893 | 1,622,593 | 1,641,845 | 1,689,460 |
| Inventory | US$ in thousands | 739,994 | 753,380 | 763,516 | 713,698 | 697,698 | 755,163 | 776,503 | 809,402 | 797,798 | 835,198 | 811,998 | 777,660 | 715,712 | 671,399 | 640,998 | 563,914 | 518,247 | 515,469 | 516,589 | 510,598 |
| Inventory turnover | 3.41 | 3.33 | 3.29 | 3.56 | 3.72 | 3.56 | 3.58 | 3.49 | 3.59 | 3.40 | 3.43 | 3.47 | 3.64 | 3.74 | 3.76 | 4.13 | 3.30 | 3.15 | 3.18 | 3.31 |
March 31, 2025 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $2,523,738K ÷ $739,994K
= 3.41
The inventory turnover ratio for Enersys has experienced some fluctuations over the past few years. The ratio indicates how effectively the company is managing its inventory by assessing how many times during a period the company sells and replaces its inventory.
From July 5, 2020, to March 31, 2025, the inventory turnover ratio ranged from a low of 2.50 to a high of 4.13. Generally, a higher turnover ratio is preferred as it suggests that the company is selling its inventory more quickly, which could indicate strong sales or effective inventory management.
Enersys' inventory turnover ratio appears to have peaked at 4.13 as of June 30, 2021, which may indicate improved inventory management or increased sales during that period. However, the ratio declined in subsequent quarters but remained within a relatively stable range between 3.15 and 3.76.
Although the ratio fluctuated over the period, Enersys has maintained an average turnover ratio around 3.50, demonstrating that, on average, the company sells and replaces its inventory approximately 3.5 times a year. A consistent turnover ratio can imply stable inventory management practices.
Overall, while there have been fluctuations in the inventory turnover ratio, Enersys has shown a consistent ability to manage its inventory effectively, indicating a balance between stock levels and sales volume. It would be important to monitor any significant deviations in the ratio to assess the impact on the company's operations and financial performance.
Peer comparison
Mar 31, 2025
Mar 31, 2025