Live Nation Entertainment Inc (LYV)
Inventory turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 17,328,200 | 17,292,000 | 12,337,500 | 4,355,990 | 1,402,400 |
| Inventory | US$ in thousands | 50,145 | 45,141 | 38,725 | 33,826 | 22,000 |
| Inventory turnover | 345.56 | 383.07 | 318.59 | 128.78 | 63.75 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $17,328,200K ÷ $50,145K
= 345.56
Based on the data provided, Live Nation Entertainment Inc's inventory turnover has shown a significant increase over the years. The inventory turnover ratio measures how efficiently the company is managing its inventory by indicating how many times it sells and replaces its inventory within a specific period.
In December 2020, the inventory turnover was 63.75, which indicates that Live Nation turned over its inventory approximately 63.75 times during that year. The ratio doubled to 128.78 by December 2021, suggesting a notable improvement in inventory management efficiency.
The trend continued to show substantial growth, reaching 318.59 by December 2022, and further increasing to 383.07 by December 2023. This suggests that Live Nation is managing its inventory exceptionally well and is quickly selling and replenishing its stock.
However, there was a slight decrease in inventory turnover to 345.56 by December 2024. While this decrease may indicate a slight slowdown in inventory management efficiency, it is important to consider the overall positive trend in inventory turnover ratios over the years.
Overall, Live Nation Entertainment Inc has demonstrated a strong ability to efficiently manage its inventory, with a consistent improvement in inventory turnover ratios from 2020 to 2023, showing effectiveness in selling and replenishing its inventory quickly.
Peer comparison
Dec 31, 2024