MGM Resorts International (MGM)

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	Mar 31, 2019
Cost of revenue (ttm)	US$ in thousands	5,514,780	6,711,230	7,935,100	7,982,230	7,708,670	5,951,490	4,236,178	3,714,992	3,486,470	3,449,480	3,384,458	3,303,276	3,359,036	3,419,561	3,401,558	3,511,987	3,505,180	3,384,573	3,375,699	3,226,356
Inventory	US$ in thousands	141,678	135,859	130,889	128,732	126,065	113,323	115,100	102,050	96,374	94,198	79,019	82,346	88,323	97,316	106,791	106,327	102,888	104,206	106,707	111,302
Inventory turnover		38.92	49.40	60.62	62.01	61.15	52.52	36.80	36.40	36.18	36.62	42.83	40.11	38.03	35.14	31.85	33.03	34.07	32.48	31.64	28.99

December 31, 2023 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $5,514,780K ÷ $141,678K
= 38.92

MGM Resorts International has shown a consistent and strong inventory turnover ratio over the past eight quarters, ranging from 52.45 to 60.37. This indicates the company's efficiency in managing its inventory levels and converting them into sales. The increasing trend in inventory turnover suggests that MGM Resorts has been able to sell through its inventory at a faster rate, which is a positive sign of operational efficiency. It reflects the company's ability to effectively manage its inventory and minimize storage costs. Overall, the high and stable inventory turnover ratio demonstrates MGM Resorts International's effectiveness in optimizing its inventory management practices.