Flowers Foods Inc (FLO)
Inventory turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 2,577,220 | 2,632,140 | 2,502,000 | 2,175,250 | 2,196,140 |
| Inventory | US$ in thousands | 262,691 | 270,883 | 242,311 | 203,459 | 193,337 |
| Inventory turnover | 9.81 | 9.72 | 10.33 | 10.69 | 11.36 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $2,577,220K ÷ $262,691K
= 9.81
Flowers Foods Inc's inventory turnover has shown a gradual decline over the past five years, decreasing from 11.36 in December 2020 to 9.81 in December 2024. This indicates that the company is selling its inventory at a slower rate relative to the previous years, which may imply inefficiencies in inventory management. A lower inventory turnover ratio could suggest excess inventory levels, potential issues with sales, or challenges in forecasting demand accurately. It is important for Flowers Foods Inc to monitor and address the factors contributing to this trend to improve operational efficiency and optimize working capital management.
Peer comparison
Dec 31, 2024