General Motors Company (GM)
Inventory turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 2,494,000 | 1,092,000 | 109,459,000 | 105,425,000 | 120,031,000 |
| Inventory | US$ in thousands | 16,461,000 | 15,366,000 | 12,988,000 | 10,235,000 | 10,398,000 |
| Inventory turnover | 0.15 | 0.07 | 8.43 | 10.30 | 11.54 |
December 31, 2023 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $2,494,000K ÷ $16,461,000K
= 0.15
The inventory turnover for General Motors Company has shown a fluctuating trend over the past five years. The ratio has decreased from 10.64 in 2019 to 7.74 in 2021 before showing a slight increase to 8.26 in 2022 and further to 8.59 in 2023. This indicates that the company's ability to manage its inventory effectively has varied in recent years. A higher inventory turnover ratio generally suggests efficient inventory management and sales, while a lower ratio may indicate overstocking or slowing sales. It would be beneficial to assess the underlying reasons for these fluctuations, such as changes in sales patterns, production processes, or inventory management strategies, to gain a comprehensive understanding of the company's inventory turnover performance.
Peer comparison
Dec 31, 2023