ONEOK Inc (OKE)
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 | 13,311,000 | 12,116,000 | 11,888,000 | 11,479,000 | 11,929,000 | 12,520,870 | 14,494,870 | 16,890,870 | 17,909,870 | 18,336,040 | 17,012,170 | 14,501,150 | 12,256,660 | 9,564,710 | 7,381,250 | 5,954,728 | 5,110,148 | 5,274,398 | 5,423,258 | 6,108,590 |
| Inventory | US$ in thousands | 748,000 | 616,000 | 671,000 | 798,000 | 639,000 | 869,000 | 314,000 | 399,000 | 432,000 | 538,018 | 619,880 | 584,104 | 427,880 | 628,110 | 454,760 | 369,604 | 227,810 | 300,577 | 201,883 | 131,041 |
| Inventory turnover | 17.80 | 19.67 | 17.72 | 14.38 | 18.67 | 14.41 | 46.16 | 42.33 | 41.46 | 34.08 | 27.44 | 24.83 | 28.65 | 15.23 | 16.23 | 16.11 | 22.43 | 17.55 | 26.86 | 46.62 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $13,311,000K ÷ $748,000K
= 17.80
ONEOK Inc's inventory turnover ratio measures how efficiently the company is managing its inventory levels and generating sales from its inventory. A high inventory turnover ratio indicates that the company is effectively selling its inventory and restocking it quickly. On the other hand, a low ratio may suggest inefficiencies in inventory management, such as overstocking or slow-moving inventory.
Looking at the data provided, we observe fluctuations in ONEOK Inc's inventory turnover ratio over the specified quarters. The ratio ranged from a high of 46.62 in March 2020 to a low of 14.38 in March 2024. Generally, a downward trend in inventory turnover ratio could indicate slower sales relative to the inventory level, possibly signaling excess inventory or weaker demand for the company's products.
However, we also note some fluctuations in the ratio throughout the period, with occasional increases in the ratio, such as in December 2021 and March 2023. These spikes could indicate improvements in inventory management efficiency, leading to a faster turnover of inventory.
Overall, it is essential for ONEOK Inc to maintain a balance in its inventory turnover ratio to ensure optimal inventory management and maximize profitability. Continuous monitoring and analysis of this ratio can provide valuable insights into the company's operational efficiency and effectiveness in managing its inventory levels.
Peer comparison
Dec 31, 2024
Dec 31, 2024