IDEX Corporation (IEX)
Inventory turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 1,823,600 | 1,827,000 | 1,755,000 | 1,540,300 | 1,324,220 |
| Inventory | US$ in thousands | 429,700 | 420,800 | 470,900 | 370,400 | 289,910 |
| Inventory turnover | 4.24 | 4.34 | 3.73 | 4.16 | 4.57 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $1,823,600K ÷ $429,700K
= 4.24
Based on the inventory turnover data provided, IDEX Corporation's inventory turnover has fluctuated over the past five years. In December 2020, the inventory turnover ratio was 4.57, indicating that the company turned over its inventory approximately 4.57 times during the year.
Subsequently, in December 2021, the inventory turnover decreased to 4.16, suggesting a slight decrease in the efficiency of inventory management. This trend continued in December 2022, with the inventory turnover ratio further declining to 3.73, which may indicate potential inefficiencies in inventory control or sales performance.
However, there was a notable improvement in December 2023, as the inventory turnover ratio increased to 4.34, indicating a more efficient management of inventory during that period. In December 2024, the inventory turnover remained relatively stable at 4.24, suggesting that the company maintained a consistent level of inventory turnover.
Overall, while there have been fluctuations in the inventory turnover ratio, the company has generally demonstrated an ability to effectively manage its inventory levels and optimize its operations over the analyzed period. Continued monitoring and analysis of this metric will be essential for assessing the company's operational efficiency and effectiveness in managing its inventory.
Peer comparison
Dec 31, 2024