Intel Corporation (INTC)

Inventory turnover

		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	Mar 31, 2019
Cost of revenue (ttm)	US$ in thousands	37,141,000	39,066,000	39,981,000	41,717,000	44,161,000	33,221,000	32,172,000	30,921,000	33,574,000	44,221,000	44,061,000	44,368,000	41,506,000	40,649,000	40,182,000	37,955,000	36,568,000	35,540,000	34,391,000	34,259,000
Inventory	US$ in thousands	11,127,000	11,466,000	11,984,000	12,993,000	13,224,000	12,831,000	12,174,000	11,935,000	10,776,000	9,798,000	8,817,000	8,487,000	8,427,000	9,273,000	8,969,000	9,246,000	8,744,000	8,638,000	8,696,000	7,765,000
Inventory turnover		3.34	3.41	3.34	3.21	3.34	2.59	2.64	2.59	3.12	4.51	5.00	5.23	4.93	4.38	4.48	4.11	4.18	4.11	3.95	4.41

December 31, 2023 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $37,141,000K ÷ $11,127,000K
= 3.34

The inventory turnover ratio measures how efficiently a company manages its inventory by indicating how many times the company sells and replaces its inventory within a specific period. For Intel Corporation, the inventory turnover has fluctuated over the past few quarters.

In the most recent quarter, ending Dec 31, 2023, the inventory turnover was 3.34, showing a slight decrease compared to the previous quarter. This indicates that Intel Corporation was able to sell and replace its inventory approximately 3.34 times during the quarter.

Looking at the trend over the past few quarters, Intel's inventory turnover has generally been within the range of 2.59 to 5.23, with some fluctuations. A higher inventory turnover generally suggests that a company is managing its inventory efficiently and quickly converting it into sales, which can be a positive indicator of effective inventory management.

It is worth noting that inventory turnover ratios can vary significantly across different industries, so it is essential to compare Intel's inventory turnover to industry benchmarks to gain a better perspective on its performance in managing inventory effectively.