Altria Group (MO)
Inventory turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 6,077,000 | 6,141,000 | 6,183,000 | 6,262,000 | 6,259,000 | 6,266,000 | 6,403,000 | 6,430,000 | 6,442,000 | 6,640,000 | 6,783,000 | 6,957,000 | 7,119,000 | 7,257,000 | 7,360,000 | 7,253,000 | 7,818,000 | 7,627,000 | 7,581,000 | 7,680,000 |
| Inventory | US$ in thousands | 1,080,000 | 1,101,000 | 1,174,000 | 1,241,000 | 1,215,000 | 1,174,000 | 1,191,000 | 1,252,000 | 1,180,000 | 1,106,000 | 1,144,000 | 1,214,000 | 1,194,000 | 1,133,000 | 1,794,000 | 1,948,000 | 1,966,000 | 1,862,000 | 1,914,000 | 2,006,000 |
| Inventory turnover | 5.63 | 5.58 | 5.27 | 5.05 | 5.15 | 5.34 | 5.38 | 5.14 | 5.46 | 6.00 | 5.93 | 5.73 | 5.96 | 6.41 | 4.10 | 3.72 | 3.98 | 4.10 | 3.96 | 3.83 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $6,077,000K ÷ $1,080,000K
= 5.63
The inventory turnover ratio for Altria Group has shown a fluctuating trend over the period from March 31, 2020, to December 31, 2024. Initially starting at 3.83 times on March 31, 2020, the ratio slightly increased to 4.10 times by September 30, 2020. However, it dropped to 3.72 times by March 31, 2021, before rebounding back to 4.10 times by June 30, 2021.
The inventory turnover ratio saw a significant improvement by September 30, 2021, reaching 6.41 times, indicating that Altria was able to sell and replace its inventory more efficiently during that quarter. This trend continued with figures of 5.96 times on December 31, 2021, and further improvements reaching 6.00 times by September 30, 2022.
Although the ratio slightly decreased to 5.46 times by December 31, 2022, Altria Group managed to maintain a relatively stable inventory turnover performance throughout the following quarters. The ratio stayed in the range of 5.05 times to 5.63 times from March 31, 2023, to December 31, 2024, indicating that the company was effectively managing its inventory levels and turnover during this period.
Overall, the inventory turnover ratio for Altria Group demonstrates a reasonably healthy performance, with fluctuations in line with industry and seasonal trends. It is essential for the company to continue monitoring and optimizing its inventory turnover to ensure efficient operations and effective management of working capital.
Peer comparison
Dec 31, 2024
Dec 31, 2024