Hawkins Inc (HWKN)
Inventory turnover
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 725,526 | 740,437 | 757,136 | 769,314 | 769,979 | 764,213 | 734,376 | 685,548 | 628,021 | 572,588 | 534,166 | 503,180 | 473,109 | 451,653 | 435,893 | 432,938 | 439,281 | 441,893 | 450,083 | 457,586 |
| Inventory | US$ in thousands | 74,600 | 68,805 | 68,500 | 76,938 | 88,777 | 101,581 | 113,062 | 104,988 | 94,985 | 76,242 | 70,338 | 67,943 | 63,864 | 64,657 | 63,194 | 63,389 | 54,436 | 57,542 | 60,804 | 58,693 |
| Inventory turnover | 9.73 | 10.76 | 11.05 | 10.00 | 8.67 | 7.52 | 6.50 | 6.53 | 6.61 | 7.51 | 7.59 | 7.41 | 7.41 | 6.99 | 6.90 | 6.83 | 8.07 | 7.68 | 7.40 | 7.80 |
March 31, 2024 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $725,526K ÷ $74,600K
= 9.73
Inventory turnover is a key financial ratio that indicates how efficiently a company manages its inventory. It is calculated by dividing the cost of goods sold by the average inventory balance. A higher inventory turnover ratio usually indicates that a company is selling its inventory quickly.
Looking at the data provided for Hawkins Inc, we can observe fluctuations in the inventory turnover ratio over the past few quarters. The trend shows that the inventory turnover ratio has generally been increasing from 6.50 in September 2022 to 11.05 in September 2023, before slightly decreasing to 9.73 in March 2024.
This increasing trend indicates that Hawkins Inc has been improving its inventory management efficiency over the last few quarters. A higher inventory turnover ratio is generally considered favorable as it means the company is selling its inventory more quickly, reducing the risk of obsolete or excess inventory.
Overall, based on the inventory turnover ratios observed, Hawkins Inc has shown a positive trend in managing its inventory efficiently, with some fluctuations but generally improving over the period analyzed. This indicates a positive operational performance in terms of inventory management for the company.
Peer comparison
Mar 31, 2024
Mar 31, 2024