nVent Electric PLC (NVT)
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 | 1,954,700 | 2,009,400 | 2,044,100 | 2,003,200 | 1,921,500 | 1,864,100 | 1,813,700 | 1,802,300 | 1,812,300 | 1,784,100 | 1,721,200 | 1,627,600 | 1,520,100 | 1,422,500 | 1,342,700 | 1,263,500 | 1,249,200 | 1,272,100 | 1,295,300 | 1,335,700 |
| Inventory | US$ in thousands | 360,300 | 366,200 | 445,800 | 441,100 | 441,300 | 464,900 | 475,300 | 366,500 | 346,700 | 374,500 | 375,400 | 348,300 | 321,900 | 301,400 | 275,400 | 237,900 | 235,200 | 238,900 | 247,500 | 249,000 |
| Inventory turnover | 5.43 | 5.49 | 4.59 | 4.54 | 4.35 | 4.01 | 3.82 | 4.92 | 5.23 | 4.76 | 4.58 | 4.67 | 4.72 | 4.72 | 4.88 | 5.31 | 5.31 | 5.32 | 5.23 | 5.36 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $1,954,700K ÷ $360,300K
= 5.43
nVent Electric PLC's inventory turnover has shown some fluctuations over the past few years. The inventory turnover ratio indicates how many times a company sells and replaces its inventory during a specific period.
From March 31, 2020, to June 30, 2021, nVent Electric PLC's inventory turnover remained relatively stable, ranging between 5.23 and 5.36. This suggests that the company was efficiently managing its inventory during this period.
However, from June 30, 2021, to June 30, 2023, there was a decline in the inventory turnover ratio, dropping from 4.88 to 3.82. This may indicate potential issues with inventory management or slower sales during this period.
In the later periods, from September 30, 2023, to December 31, 2024, the inventory turnover ratio started to improve, reaching 5.49 by September 30, 2024. This indicates that the company may have made adjustments to its inventory management practices to improve efficiency.
Overall, nVent Electric PLC's inventory turnover ratio has shown fluctuations but has generally remained within a reasonable range, reflecting varying levels of efficiency in managing inventory turnover over time. It would be important for the company to further analyze the reasons behind the fluctuations and take necessary steps to maintain optimal inventory turnover levels.
Peer comparison
Dec 31, 2024
Dec 31, 2024