Ingevity Corp (NGVT)
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 | 1,612,300 | 1,442,000 | 1,442,600 | 1,368,600 | 1,335,600 | 1,275,700 | 1,193,000 | 1,142,100 | 1,091,900 | 1,054,900 | 1,005,100 | 965,500 | 944,800 | 936,000 | 970,200 | 1,004,700 | 1,029,600 | 1,017,900 | 977,200 | 941,300 |
| Inventory | US$ in thousands | 308,800 | 386,700 | 387,100 | 361,400 | 335,000 | 281,800 | 277,000 | 260,200 | 241,200 | 228,300 | 214,500 | 204,200 | 189,000 | 204,000 | 223,500 | 236,200 | 212,500 | 210,200 | 221,300 | 229,300 |
| Inventory turnover | 5.22 | 3.73 | 3.73 | 3.79 | 3.99 | 4.53 | 4.31 | 4.39 | 4.53 | 4.62 | 4.69 | 4.73 | 5.00 | 4.59 | 4.34 | 4.25 | 4.85 | 4.84 | 4.42 | 4.11 |
December 31, 2023 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $1,612,300K ÷ $308,800K
= 5.22
To analyze Ingevity Corp's inventory turnover over the past eight quarters, we observe a fluctuating trend.
In Q4 2023, the inventory turnover ratio was 3.95, the highest value in the given period. This indicates that the company turned over its inventory approximately 3.95 times during the quarter. The increase in inventory turnover from the previous quarter suggests that Ingevity Corp managed its inventory more efficiently during this period.
In the three preceding quarters (Q3, Q2, and Q1 2023), the inventory turnover ratios were 3.07, 3.04, and 3.09, respectively. Although showing some variability, these ratios remained relatively stable around the range of 3.0 to 3.1. This could signify consistent inventory management practices during this period.
Comparing the most recent quarter to the same period the year before (Q4 2022), we note a slight decrease from 3.28 to 3.95. This decline indicates that Ingevity Corp's inventory turnover was slightly lower in Q4 2023 compared to a year ago, suggesting potential changes in the company's inventory management efficiency.
Looking at the broader trend over the past two years, the inventory turnover ratios for Ingevity Corp ranged from 3.54 to 3.95. Despite some fluctuations, the ratios generally remained within a relatively narrow range, implying a consistent level of inventory turnover efficiency over this period.
Overall, while there have been some fluctuations, Ingevity Corp has maintained a moderate level of inventory turnover efficiency over the past eight quarters, with the most recent quarter showing a notable increase in this metric. This analysis signifies the company's ability to effectively manage its inventory levels and reflects its ongoing efforts to optimize operational performance.
Peer comparison
Dec 31, 2023
Dec 31, 2023