Entergy Corporation (ETR)

Inventory turnover

		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	Jun 30, 2020	Mar 31, 2020
Cost of revenue (ttm)	US$ in thousands	7,304,010	7,536,150	7,723,620	7,135,690	6,817,980	7,276,630	8,083,670	8,635,940	8,488,890	8,053,640	7,231,930	6,897,980	6,871,030	6,600,370	6,294,120	5,924,990	5,659,880	5,758,650	6,042,900	6,414,800
Inventory	US$ in thousands	1,797,460	1,779,200	1,750,930	1,682,610	1,611,770	1,544,330	1,498,860	1,410,600	1,330,940	1,264,630	1,232,760	1,206,320	1,196,090	1,158,240	1,146,300	1,118,830	1,135,120	1,065,050	1,036,310	998,720
Inventory turnover		4.06	4.24	4.41	4.24	4.23	4.71	5.39	6.12	6.38	6.37	5.87	5.72	5.74	5.70	5.49	5.30	4.99	5.41	5.83	6.42

December 31, 2024 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $7,304,010K ÷ $1,797,460K
= 4.06

Entergy Corporation's inventory turnover has shown some fluctuations over the analyzed period. The inventory turnover ratio measures how efficiently a company manages its inventory by calculating how many times it sells and replaces its inventory during a specific period.

From March 31, 2020, to December 31, 2024, Entergy Corporation's inventory turnover ratio ranged from a low of 4.06 to a high of 6.42. Generally, a higher inventory turnover ratio indicates that the company is efficiently managing its inventory levels and selling goods quickly.

The trend in Entergy Corporation's inventory turnover ratio shows some variability, with periods of increase and decrease. For example, there was a noticeable decline in the inventory turnover ratio in the latter half of 2023 and early 2024 before a slight increase in the following quarters.

Overall, a sustained and moderate inventory turnover ratio suggests that Entergy Corporation is effectively managing its inventory levels to meet demand, avoid overstocking, and reduce holding costs. However, it is essential to continue monitoring this ratio to ensure that the company maintains efficient inventory management practices.