Warrior Met Coal Inc (HCC)
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 | 1,143,987 | 1,126,106 | 1,081,932 | 1,055,588 | 944,616 | 921,930 | 774,335 | 699,327 | 699,741 | 725,818 | 784,741 | 757,504 | 755,554 | 703,163 | 750,580 | 843,897 | 885,225 | 713,987 | 689,415 | 656,336 |
| Inventory | US$ in thousands | 183,949 | 108,757 | 137,941 | 129,406 | 154,039 | 143,789 | 140,418 | 110,535 | 59,619 | 94,026 | 140,418 | 135,696 | 118,713 | 155,667 | 153,905 | 117,563 | 97,901 | 81,918 | 69,234 | 70,356 |
| Inventory turnover | 6.22 | 10.35 | 7.84 | 8.16 | 6.13 | 6.41 | 5.51 | 6.33 | 11.74 | 7.72 | 5.59 | 5.58 | 6.36 | 4.52 | 4.88 | 7.18 | 9.04 | 8.72 | 9.96 | 9.33 |
December 31, 2023 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $1,143,987K ÷ $183,949K
= 6.22
Warrior Met Coal Inc's inventory turnover fluctuated over the past eight quarters, ranging from a low of 4.30 in Q2 2022 to a high of 8.62 in Q3 2023. Inventory turnover indicates the efficiency of a company in managing its inventory levels. A higher turnover ratio suggests that the company is selling its inventory more frequently, while a lower ratio may indicate excess inventory or slow-moving goods.
The average inventory turnover for Warrior Met Coal Inc over the last eight quarters is approximately 5.73. This suggests that, on average, the company is able to turn over its inventory approximately 5.73 times during a year.
The trend indicates some inconsistency in inventory management, with notable fluctuations in the ratio from quarter to quarter. It is important for the company to analyze the reasons behind these fluctuations, whether it be changes in sales, production, or inventory management practices, to ensure optimal efficiency in managing its inventory levels.
Peer comparison
Dec 31, 2023
Dec 31, 2023