Intel Corporation (INTC)

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	48,931,000	47,865,000	39,869,000	39,196,000	38,973,000	40,898,000	41,813,000	43,549,000	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
Inventory	US$ in thousands	12,198,000	12,062,000	11,244,000	11,494,000	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
Inventory turnover		4.01	3.97	3.55	3.41	3.50	3.57	3.49	3.35	3.34	2.59	2.64	2.59	3.12	4.51	5.00	5.23	4.93	4.38	4.48	4.11

December 31, 2024 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $48,931,000K ÷ $12,198,000K
= 4.01

Inventory turnover is a crucial financial ratio that measures how efficiently a company manages its inventory. For Intel Corporation, the inventory turnover has shown fluctuating trends over the reported periods. The inventory turnover ratio indicates the number of times Intel has sold and replaced its inventory during the period.

From March 31, 2020, Intel's inventory turnover was 4.11, which means that the company turned over its inventory approximately 4.11 times during that period. The ratio improved to 5.23 by March 31, 2021, suggesting that Intel managed its inventory more efficiently.

However, there was a decline in inventory turnover to 2.59 by March 31, 2022, indicating that Intel took longer to sell and replace its inventory during that period. This trend continued through the following quarters, with inventory turnover ranging between 2.59 and 3.57 until September 30, 2023.

From December 31, 2023, Intel saw a slight recovery in inventory turnover, reaching 4.01 by December 31, 2024. This uptick indicates an improvement in inventory management efficiency, as Intel sold and replaced its inventory approximately 4.01 times during the last reported period.

Overall, Intel Corporation's inventory turnover ratio has shown variations over the analyzed periods, reflecting changes in inventory management practices and sales performance. A higher inventory turnover generally indicates effective inventory management and a more agile supply chain, while a lower ratio might suggest excess inventory levels or slower sales.