Generac Holdings Inc (GNRC)
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 | 3,547,131 | 3,434,438 | 3,409,014 | 3,438,554 | 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 |
| Inventory | US$ in thousands | 1,031,650 | 1,095,760 | 1,152,130 | 1,182,350 | 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 |
| Inventory turnover | 3.44 | 3.13 | 2.96 | 2.91 | 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 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $3,547,131K ÷ $1,031,650K
= 3.44
Generac Holdings Inc's inventory turnover has shown some fluctuations over the years. The inventory turnover ratio measures how many times a company's inventory is sold and replaced over a certain period. A higher inventory turnover ratio indicates that the company is selling goods more rapidly.
From March 31, 2020, to December 31, 2024, the inventory turnover ratio ranged from 2.64 to 3.44 times. The trend indicates a slight increase in the ratio over the first few quarters, peaking in December 31, 2024, before declining slightly in the following quarters.
The variations in the inventory turnover ratio could be due to changes in sales volume, inventory management practices, or supply chain disruptions. It is important for Generac Holdings Inc to monitor and analyze these fluctuations to ensure efficient inventory management and optimize working capital. A consistent and optimal inventory turnover ratio is essential for maintaining a healthy balance between inventory levels and sales efficiency.
Peer comparison
Dec 31, 2024
Dec 31, 2024