Kontoor Brands Inc (KTB)

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
Cost of revenue (ttm)	US$ in thousands	2,110,102	2,157,875	2,133,960	2,098,379	2,289,479	2,254,937	2,276,112	2,207,146	2,194,929	2,189,315	2,125,669	2,046,651	2,005,188	2,000,957	2,073,359	2,252,287
Inventory	US$ in thousands	500,353	605,234	626,885	660,089	596,836	678,207	537,900	432,891	362,957	409,110	403,249	350,151	340,732	432,280	432,925	488,750	458,101	545,426	538,168
Inventory turnover		4.22	3.57	3.40	3.18	3.84	3.32	4.23	5.10	6.05	5.35	5.27	5.85	5.88	4.63	4.79	4.61

December 31, 2023 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $2,110,102K ÷ $500,353K
= 4.22

The inventory turnover ratio for Kontoor Brands Inc has shown fluctuations over the past five years.

From December 2019 to September 2020, the company experienced a gradual increase in inventory turnover, with the ratio peaking at 6.05 in September 2020. This indicates that the company was selling its inventory more frequently during this period.

However, in the following quarters, the inventory turnover ratio started to decline, reaching a low of 3.18 in March 2023. This suggests that Kontoor Brands Inc was selling its inventory less frequently during this time frame.

Overall, the trend in inventory turnover for Kontoor Brands Inc appears to be somewhat cyclical, with periods of increase followed by periods of decrease. It would be important for investors and stakeholders to closely monitor this ratio to assess the company's efficiency in managing its inventory levels and sales strategy.