Generac Holdings Inc (GNRC)
Inventory turnover
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 3,467,167 | 3,511,548 | 3,549,719 | 3,712,163 | 3,851,933 | 3,800,448 | 3,581,652 | 3,260,387 | 2,914,932 | 2,620,687 | 2,403,793 | 2,129,948 | 1,928,430 | 1,824,898 | 1,778,457 | 1,774,617 | 1,766,202 | 1,749,229 | 1,709,953 | 1,672,845 |
| Inventory | US$ in thousands | 1,167,480 | 1,311,130 | 1,436,620 | 1,438,300 | 1,405,380 | 1,424,690 | 1,240,520 | 1,236,770 | 1,089,700 | 934,948 | 772,861 | 644,576 | 603,317 | 532,952 | 544,372 | 559,695 | 522,024 | 517,232 | 570,327 | 588,380 |
| Inventory turnover | 2.97 | 2.68 | 2.47 | 2.58 | 2.74 | 2.67 | 2.89 | 2.64 | 2.67 | 2.80 | 3.11 | 3.30 | 3.20 | 3.42 | 3.27 | 3.17 | 3.38 | 3.38 | 3.00 | 2.84 |
December 31, 2023 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $3,467,167K ÷ $1,167,480K
= 2.97
Generac Holdings Inc's inventory turnover has shown fluctuations over the past 8 quarters. The inventory turnover ratio ranged from a high of 2.35 in Q2 2022 to a low of 1.89 in Q2 2023. Overall, the trend indicates that the company generally manages its inventory efficiently, with most quarters showing turnover ratios above 2. This suggests that Generac is able to sell and replace its inventory multiple times within a year, which can be indicative of effective inventory management and liquidity. However, the slight decrease in inventory turnover in recent quarters may warrant further analysis to understand any potential shifts in the company's sales strategy, production efficiency, or demand for its products.
Peer comparison
Dec 31, 2023
Dec 31, 2023