International Flavors & Fragrances Inc (IFF)

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	7,681,000	7,733,000	7,756,000	7,778,000	7,798,000	7,930,000	8,096,000	8,271,000	8,289,000	8,364,000	8,283,000	8,291,000	7,921,000	6,627,343	5,389,992	3,927,923	2,998,373	3,023,637	3,014,245	3,042,643
Inventory	US$ in thousands	2,133,000	2,200,000	2,160,000	2,411,000	2,477,000	2,549,000	2,790,000	2,946,000	3,151,000	3,122,000	2,993,000	2,795,000	2,516,000	2,401,000	2,464,000	2,589,000	1,131,860	1,151,280	1,165,860	1,075,910
Inventory turnover		3.60	3.52	3.59	3.23	3.15	3.11	2.90	2.81	2.63	2.68	2.77	2.97	3.15	2.76	2.19	1.52	2.65	2.63	2.59	2.83

December 31, 2024 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $7,681,000K ÷ $2,133,000K
= 3.60

The inventory turnover ratio for International Flavors & Fragrances Inc has shown some fluctuations over the past few years. The ratio measures how many times the company's inventory is sold and replaced over a specific period.

From March 31, 2020, to December 31, 2021, the inventory turnover ratio ranged from 1.52 to 3.15, indicating variations in the company's efficiency in managing its inventory levels. The increase in the ratio from 1.52 to 3.15 over this period suggests that the company was able to sell and replace its inventory more frequently, potentially indicating effective inventory management practices.

After December 31, 2021, the inventory turnover ratio ranged from 2.63 to 3.60, showing a relatively stable level compared to the previous period. This stability indicates that the company has been able to maintain a consistent level of inventory management efficiency.

Overall, the trend in the inventory turnover ratio for International Flavors & Fragrances Inc points towards improvements in inventory management efficiency, with the company showing the ability to sell and replace its inventory at a more consistent and higher rate over time.