Ingredion Incorporated (INGR)

Inventory turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cost of revenue	US$ in thousands	6,481,000	6,512,000	6,003,000	4,872,000	5,004,000
Inventory	US$ in thousands	1,450,000	1,597,000	1,172,000	917,000	861,000
Inventory turnover		4.47	4.08	5.12	5.31	5.81

December 31, 2023 calculation

Inventory turnover = Cost of revenue ÷ Inventory
= $6,481,000K ÷ $1,450,000K
= 4.47

Ingredion Inc's inventory turnover has shown a declining trend over the past five years, decreasing from 5.69 in 2019 to 4.42 in 2023. This indicates the company's efficiency in managing its inventory has worsened over time. A lower inventory turnover may imply excess inventory levels or slowing sales, which could lead to higher carrying costs and potential obsolescence risks. Ingredion Inc may need to review its inventory management practices to optimize its inventory turnover and improve overall operational efficiency.

Peer comparison

Dec 31, 2023

Company name

Symbol

Inventory turnover

Ingredion Incorporated

INGR

4.47