Ingredion Incorporated (INGR)
Inventory turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 5,639,000 | 6,411,000 | 6,452,000 | 5,563,000 | 4,715,000 |
| Inventory | US$ in thousands | 1,187,000 | 1,450,000 | 1,597,000 | 1,172,000 | 917,000 |
| Inventory turnover | 4.75 | 4.42 | 4.04 | 4.75 | 5.14 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $5,639,000K ÷ $1,187,000K
= 4.75
The inventory turnover ratio for Ingredion Incorporated has shown a relatively stable trend over the past five years. In 2020, the inventory turnover stood at 5.14 times, reflecting that the company sold and replaced its inventory 5.14 times during that fiscal year.
Subsequently, the inventory turnover ratio declined slightly to 4.75 in 2021, indicating a marginal decrease in the rate at which inventory was sold and restocked. This trend continued in 2022, with the ratio dropping further to 4.04, implying that the company took longer to sell and replace its inventory compared to the previous years.
However, there was a slight improvement in 2023, as the inventory turnover ratio increased to 4.42. This uptick suggests that the company managed its inventory more efficiently that year. In the most recent year, 2024, the inventory turnover ratio returned to 4.75, the same level as in 2021, indicating that the company's inventory management practices have stabilized.
Overall, despite some fluctuations in the inventory turnover ratio, Ingredion Incorporated has maintained a fairly consistent level of inventory turnover over the past five years, suggesting a reasonable balance between inventory management and sales operations.
Peer comparison
Dec 31, 2024