National Vision Holdings Inc (EYE)
Inventory turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 2,173,460 | 1,946,680 | 1,907,070 | 1,625,200 | 1,647,140 |
| Inventory | US$ in thousands | 119,908 | 123,158 | 123,669 | 111,274 | 127,556 |
| Inventory turnover | 18.13 | 15.81 | 15.42 | 14.61 | 12.91 |
December 31, 2023 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $2,173,460K ÷ $119,908K
= 18.13
National Vision Holdings Inc's inventory turnover has been showing a generally increasing trend over the past five years, indicating improved efficiency in managing its inventory. The company's inventory turnover ratio has increased from 12.91 in 2019 to 18.13 in 2023. This signifies that the company sold its inventory 18.13 times in 2023, compared to 12.91 times in 2019.
A higher inventory turnover ratio suggests that the company is selling its inventory more frequently, which can be a positive sign of effective inventory management and faster-moving products. This trend indicates that National Vision Holdings Inc has been able to optimize its inventory levels and is efficiently converting inventory into sales.
Overall, the increasing trend in inventory turnover over the years reflects positively on the company's operational efficiency and management of its inventory levels.
Peer comparison
Dec 31, 2023