Hubbell Inc (HUBB)

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	4,666,300	4,698,500	4,649,000	4,562,700	4,413,300	4,342,200	4,361,000	4,347,400	4,324,800	4,220,300	4,160,900	4,137,000	4,086,800	4,039,100	3,928,200	3,709,700	3,721,700	3,771,000	3,839,800	4,034,700
Inventory	US$ in thousands	841,800	850,000	856,500	842,400	832,900	788,400	794,100	779,600	740,700	739,000	719,500	708,800	662,100	700,700	638,300	616,400	526,700	584,900	604,200	595,700
Inventory turnover		5.54	5.53	5.43	5.42	5.30	5.51	5.49	5.58	5.84	5.71	5.78	5.84	6.17	5.76	6.15	6.02	7.07	6.45	6.36	6.77

December 31, 2024 calculation

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

Hubbell Inc's inventory turnover ratio has shown some fluctuations over the past few years. The inventory turnover ratio indicates how efficiently a company is managing its inventory levels by measuring the number of times inventory is sold and replaced during a period.

From March 31, 2020, to December 31, 2024, the inventory turnover ratio has ranged from 5.30 to 7.07. The highest inventory turnover ratio of 7.07 was recorded on December 31, 2020, indicating that Hubbell Inc efficiently turned over its inventory that year. On the other hand, the lowest ratio of 5.30 was observed on December 31, 2023.

Despite some fluctuations, the trend of the inventory turnover ratio has been relatively stable, hovering around the range of 5.30 to 7.07. However, there was a decline in the ratio from December 31, 2020, to December 31, 2024, indicating a potential slowdown in inventory turnover efficiency.

Overall, the analysis of Hubbell Inc's inventory turnover suggests that the company has been effectively managing its inventory, but there may be room for improvement in optimizing inventory turnover efficiency to ensure continued operational effectiveness.