Penske Automotive Group Inc (PAG)
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 | 28,034,900 | 27,710,200 | 27,155,800 | 26,589,800 | 26,199,700 | 25,463,600 | 25,026,400 | 25,093,400 | 24,076,800 | 23,708,300 | 23,277,400 | 20,274,600 | 19,623,900 | 19,099,300 | 18,538,800 | 19,875,000 | 19,713,700 | 19,330,000 | 19,038,100 | 19,200,600 |
| Inventory | US$ in thousands | 4,293,100 | 3,700,200 | 3,881,300 | 3,630,400 | 3,509,100 | 3,146,900 | 3,055,200 | 3,120,000 | 3,129,000 | 2,598,400 | 2,936,900 | 3,277,800 | 3,425,600 | 3,209,700 | 3,425,900 | 4,262,700 | 4,260,700 | 4,043,900 | 3,978,000 | 4,104,100 |
| Inventory turnover | 6.53 | 7.49 | 7.00 | 7.32 | 7.47 | 8.09 | 8.19 | 8.04 | 7.69 | 9.12 | 7.93 | 6.19 | 5.73 | 5.95 | 5.41 | 4.66 | 4.63 | 4.78 | 4.79 | 4.68 |
December 31, 2023 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $28,034,900K ÷ $4,293,100K
= 6.53
The inventory turnover ratio of Penske Automotive Group Inc has shown some fluctuations over the past eight quarters. The company's inventory turnover ratio for Q4 2023 was 5.73, which indicates that the company sold and replaced its inventory approximately 5.73 times during that quarter. This represents a decrease from the previous quarter, Q3 2023, when the ratio was 6.58.
Overall, the trend in inventory turnover for Penske Automotive Group Inc has been relatively stable, ranging from a low of 5.73 in Q4 2023 to a high of 7.16 in Q3 2022 over the past eight quarters. A higher inventory turnover ratio typically indicates that the company is efficiently managing its inventory by quickly selling off its products and restocking with new inventory.
It is important to further investigate the reasons behind the fluctuations in the inventory turnover ratio to determine if they are due to changes in sales trends, inventory management practices, or other factors affecting the company's operations and profitability.
Peer comparison
Dec 31, 2023
Dec 31, 2023