Godaddy Inc (GDDY)

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	1,755,100	1,848,500	1,805,200	1,752,200	1,686,600	1,550,900	1,528,300	1,500,400	1,484,500	1,478,200	1,449,700	1,421,200	1,372,200	1,300,900	1,245,300	1,202,700	1,158,600	1,127,500	1,102,300	1,067,500
Inventory	US$ in thousands	—	531,400	-143,200	0	-127,200	469,500	464,200	477,900	476,700	435,700	435,700	433,300	460,600	454,900	457,500	442,700	423,500	412,800	429,400	413,000
Inventory turnover		—	3.48	—	—	—	3.30	3.29	3.14	3.11	3.39	3.33	3.28	2.98	2.86	2.72	2.72	2.74	2.73	2.57	2.58

December 31, 2024 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $1,755,100K ÷ $—K
= —

Inventory turnover is a financial ratio that measures how efficiently a company manages its inventory by indicating the number of times the inventory is sold and replaced within a specific period. For Godaddy Inc, the inventory turnover has been showing an increasing trend over the analyzed periods, starting at around 2.58 in March 2020 and reaching 3.48 by September 30, 2024.

This improvement suggests that Godaddy Inc has been selling its inventory at a faster rate compared to previous years, indicating effective inventory management. A higher inventory turnover typically signifies that the company is effectively managing its inventory levels, avoiding excess stock that could tie up capital and impact profitability.

However, it is worth noting that the inventory turnover ratio can be influenced by various factors such as industry trends, market demand, and supply chain efficiencies. Overall, the increasing inventory turnover for Godaddy Inc indicates a positive trend in its ability to efficiently utilize its inventory resources.