LyondellBasell Industries NV (LYB)

Inventory turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Cost of revenue	US$ in thousands	35,738,000	35,849,000	43,847,000	37,397,000	24,359,000
Inventory	US$ in thousands	4,658,000	4,765,000	4,804,000	4,901,000	4,344,000
Inventory turnover		7.67	7.52	9.13	7.63	5.61

December 31, 2024 calculation

Inventory turnover = Cost of revenue ÷ Inventory
= $35,738,000K ÷ $4,658,000K
= 7.67

Based on the data provided, the inventory turnover ratio for LyondellBasell Industries NV has shown a generally increasing trend over the years.

In 2020, the inventory turnover was 5.61, indicating that the company's inventory turned over approximately 5.61 times during the year. This ratio increased to 7.63 in 2021, 9.13 in 2022, and then slightly decreased to 7.52 in 2023. In the most recent year, 2024, the inventory turnover ratio was 7.67, showing a slight improvement from the previous year.

A higher inventory turnover ratio generally suggests that the company is managing its inventory more efficiently, selling goods more quickly, and generating revenue faster. However, a very high inventory turnover ratio may also indicate that the company is facing challenges in meeting customer demand or maintaining an adequate level of inventory.

Overall, the increasing trend in LyondellBasell Industries NV's inventory turnover ratio indicates improvements in inventory management and operational efficiency over the years, which can positively impact the company's financial performance and profitability.