Hubbell Inc (HUBB)

Inventory turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Cost of revenue	US$ in thousands	4,666,300	4,413,300	4,324,800	3,741,400	3,752,500
Inventory	US$ in thousands	841,800	832,900	740,700	662,100	526,700
Inventory turnover		5.54	5.30	5.84	5.65	7.12

December 31, 2024 calculation

Inventory turnover = Cost of revenue ÷ Inventory
= $4,666,300K ÷ $841,800K
= 5.54

Hubbell Inc's inventory turnover has shown a decreasing trend over the past five years, starting at 7.12 in 2020 and decreasing to 5.54 in 2024. This indicates that the company is taking longer to sell its inventory, which may suggest issues such as overstocking or difficulties in managing inventory levels efficiently. A decreasing inventory turnover ratio could also lead to increased carrying costs and obsolescence risks. Hubbell Inc should closely monitor its inventory levels and sales processes to improve its efficiency in managing inventory and maximizing sales.