Itron Inc (ITRI)
Inventory turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 1,961,090 | 1,835,400 | 1,614,570 | 1,799,340 | 1,930,110 |
| Inventory | US$ in thousands | 270,725 | 283,686 | 228,701 | 165,799 | 182,377 |
| Inventory turnover | 7.24 | 6.47 | 7.06 | 10.85 | 10.58 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $1,961,090K ÷ $270,725K
= 7.24
Itron Inc's inventory turnover has fluctuated over the past five years. In December 2020, the inventory turnover was 10.58, indicating that the company sold and replaced its inventory approximately 10.58 times during that year. The ratio increased slightly to 10.85 in December 2021, suggesting improved efficiency in managing inventory.
However, there was a noticeable decline in inventory turnover in the following years. In December 2022, the turnover ratio dropped to 7.06, and further decreased to 6.47 in December 2023. This decline could indicate potential issues with inventory management, such as overstocking or slowing sales.
By December 2024, the inventory turnover ratio slightly improved to 7.24, but it still remained below the levels seen in 2020 and 2021. Overall, the declining trend in inventory turnover suggests the need for Itron Inc to reassess its inventory management strategies to optimize efficiency and minimize carrying costs.
Peer comparison
Dec 31, 2024