Hyatt Hotels Corporation (H)
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 | 1,023,000 | 848,000 | 829,000 | 863,000 | 841,000 | 850,000 | 857,000 | 799,000 | 766,000 | 642,000 | 551,000 | 512,000 | 440,000 | 433,000 | 434,000 | 543,000 | 498,000 | 483,000 | 485,000 | 384,000 |
| Inventory | US$ in thousands | 8,000 | 8,000 | 9,000 | 9,000 | 9,000 | 10,000 | 10,000 | 10,000 | 9,000 | 9,000 | 8,000 | 8,000 | 10,000 | 9,000 | 9,000 | 9,000 | 9,000 | 14,000 | 11,000 | 12,000 |
| Inventory turnover | 127.88 | 106.00 | 92.11 | 95.89 | 93.44 | 85.00 | 85.70 | 79.90 | 85.11 | 71.33 | 68.88 | 64.00 | 44.00 | 48.11 | 48.22 | 60.33 | 55.33 | 34.50 | 44.09 | 32.00 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $1,023,000K ÷ $8,000K
= 127.88
Hyatt Hotels Corporation's inventory turnover has shown a positive trend over the past few years, indicating efficient management of its inventory levels. The inventory turnover ratio has consistently increased from 32.00 on March 31, 2020, to 127.88 on December 31, 2024. This signifies that the company is selling its inventory more frequently and quickly.
The peak inventory turnover ratio of 127.88 on December 31, 2024, reflects that the company sold its entire inventory more than 127 times during that year. This suggests that Hyatt Hotels Corporation effectively managed its inventory levels and minimized the risk of carrying excess inventory, which could lead to obsolescence or higher storage costs.
A higher inventory turnover ratio generally indicates better liquidity and operational efficiency, as the company is able to convert its inventory into sales quickly. Hyatt Hotels Corporation's increasing inventory turnover ratio showcases strong operational performance and effective inventory management strategies in place.
Overall, the trend of increasing inventory turnover ratios for Hyatt Hotels Corporation suggests a positive outlook for the company's operations and financial health, reflecting its ability to efficiently manage its inventory and generate sales.
Peer comparison
Dec 31, 2024
Dec 31, 2024