Matthews International Corporation (MATW)
Inventory turnover
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 1,266,030 | 1,303,220 | 1,240,120 | 1,129,200 | 1,000,540 |
| Inventory | US$ in thousands | 237,888 | 260,409 | 225,440 | 189,088 | 175,100 |
| Inventory turnover | 5.32 | 5.00 | 5.50 | 5.97 | 5.71 |
September 30, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $1,266,030K ÷ $237,888K
= 5.32
Matthews International Corporation's inventory turnover has ranged from 5.00 to 5.97 over the past five years. This ratio indicates how efficiently the company is managing its inventory. A higher inventory turnover generally suggests that the company is selling its inventory more quickly, which can be a positive sign of efficient operations.
The slight fluctuations in the inventory turnover ratio over the years may reflect changes in the company's sales volume and inventory management practices. Overall, the company has maintained a relatively stable inventory turnover above 5, indicating effective management of its inventory levels. It is essential for Matthews International Corporation to continue monitoring and optimizing its inventory turnover to ensure efficient operations and profitability.