News Corp A (NWSA)
Inventory turnover
| Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 4,195,000 | 5,789,000 | 5,838,000 | 5,812,000 | 5,512,000 |
| Inventory | US$ in thousands | 327,000 | 296,000 | 311,000 | 311,000 | 253,000 |
| Inventory turnover | 12.83 | 19.56 | 18.77 | 18.69 | 21.79 |
June 30, 2025 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $4,195,000K ÷ $327,000K
= 12.83
The inventory turnover ratios for News Corp A over the period from June 30, 2021, to June 30, 2025, demonstrate notable fluctuations and trends. In particular, the ratio was 21.79 in 2021, indicating efficient inventory management with rapid inventory turnover relative to sales. However, there was a decline in 2022 to 18.69, suggesting a slight slowdown in inventory selling speed or increased inventory levels relative to sales.
The ratio remained relatively stable in 2023 at 18.77, showing no significant change from the previous year and implying a period of operational stability in inventory management. Moving into 2024, the inventory turnover improved to 19.56, marginally surpassing the 2023 figures, which could denote a slight enhancement in inventory efficiency or a reduction in inventory accumulation.
In contrast, the ratio experienced a sharp decline by 2025, dropping to 12.83. This significant decrease indicates a substantial slowdown in inventory turnover, implying either increased inventory holdings, decreased sales efficiency, or a strategic buildup of inventory that is not being rapidly sold. Such a reduction can raise concerns about inventory obsolescence, excess stock, or potential issues in sales performance.
Overall, the trend suggests that while the company initially maintained high inventory turnover levels in 2021, subsequent years experienced a gradual decline, culminating in a notable reduction by 2025. This decline warrants further examination into underlying operational factors, sales trends, and inventory management practices to understand the implications for the company's liquidity and profitability.
Peer comparison
Jun 30, 2025