Gen Digital Inc. (GEN)

Inventory turnover

		Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Mar 31, 2021	Mar 31, 2020
Cost of revenue	US$ in thousands	731,000	589,000	408,000	362,000	393,000
Inventory	US$ in thousands	—	31,000	56,000	233,000	270,000
Inventory turnover		—	19.00	7.29	1.55	1.46

March 31, 2024 calculation

Inventory turnover = Cost of revenue ÷ Inventory
= $731,000K ÷ $—K
= —

The inventory turnover ratio of Gen Digital Inc. has shown a significant improvement over the past five years, indicating more efficient management of inventory.

In March 2020, the inventory turnover was 1.46 times, demonstrating that the company's inventory turnover was relatively low, implying that the company took about 1.46 years to sell and replace its inventory during that period.

By March 2021, the inventory turnover increased to 1.55 times, showcasing a slight improvement in inventory management efficiency compared to the previous year.

This trend continued to strengthen in the following years, with inventory turnover reaching 7.29 times by March 2022, marking a substantial increase in the company's ability to convert its inventory into sales within a given period.

In the most recent financial year ending March 31, 2023, the inventory turnover ratio surged to 19.00 times, signifying a notable enhancement in inventory turnover efficiency, suggesting that Gen Digital Inc. significantly improved its inventory management practices.

However, it should be noted that no specific data was provided for March 31, 2024, making it difficult to draw a conclusion for the latest financial year. Overall, the increasing trend in inventory turnover over the five-year period suggests that Gen Digital Inc. has been effectively managing its inventory levels, optimizing its working capital, and potentially driving higher sales and profitability.