Leidos Holdings Inc (LDOS)
Inventory turnover
| Dec 31, 2024 | Sep 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 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 13,822,000 | 13,484,000 | 13,327,000 | 13,194,000 | 12,985,000 | 12,746,000 | 12,534,000 | 12,312,000 | 12,119,000 | 11,966,000 | 11,857,000 | 11,723,000 | 11,501,000 | 11,333,000 | 10,914,000 | 10,560,000 | 10,326,000 | 10,002,000 | 9,819,000 | 9,546,000 |
| Inventory | US$ in thousands | 315,000 | 323,000 | 318,000 | 310,000 | 295,000 | 310,000 | 300,000 | 287,000 | 286,000 | 286,000 | 279,000 | 274,000 | 268,000 | 251,000 | 268,000 | 276,000 | 292,000 | 294,000 | -4,000 | 72,000 |
| Inventory turnover | 43.88 | 41.75 | 41.91 | 42.56 | 44.02 | 41.12 | 41.78 | 42.90 | 42.37 | 41.84 | 42.50 | 42.78 | 42.91 | 45.15 | 40.72 | 38.26 | 35.36 | 34.02 | — | 132.58 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $13,822,000K ÷ $315,000K
= 43.88
Inventory turnover is a financial ratio that measures the efficiency with which a company manages its inventory. It indicates how many times during a specific period (usually a year) the company sells and replaces its inventory. A higher turnover ratio generally implies that a company is efficiently managing its inventory levels.
For Leidos Holdings Inc, the inventory turnover ratio has shown fluctuations over the years. From December 31, 2019, to December 31, 2024, the inventory turnover ranged from 132.58 to 43.88 times. The highest turnover was observed on December 31, 2019, which may indicate that the company was able to quickly sell and replace its inventory during that period.
However, the inventory turnover ratio decreased significantly after December 31, 2019, and stabilized around the range of 40 to 45 times from March 31, 2021, to September 30, 2023. This suggests that Leidos Holdings Inc was able to maintain a relatively consistent level of inventory turnover during this period.
Overall, the inventory turnover ratio of Leidos Holdings Inc demonstrates a pattern of fluctuation but largely remains within a moderate to high range, indicating efficient inventory management practices within the company. It is important for stakeholders to monitor this ratio to assess the company's ability to effectively manage its inventory levels in relation to its sales activities.
Peer comparison
Dec 31, 2024
Dec 31, 2024