Pitney Bowes Inc (PBI)
Inventory turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 900,698 | 243,371 | 2,457,550 | 2,504,500 | 2,356,500 |
| Inventory | US$ in thousands | 59,836 | 70,053 | 83,720 | 78,588 | 71,480 |
| Inventory turnover | 15.05 | 3.47 | 29.35 | 31.87 | 32.97 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $900,698K ÷ $59,836K
= 15.05
The inventory turnover ratio for Pitney Bowes Inc has exhibited fluctuations over the years. In December 31, 2020, the inventory turnover stood at an impressive 32.97 times, indicating that the company efficiently converted its inventory into sales during that period. However, there was a slight decrease in efficiency by December 31, 2021, with the ratio declining to 31.87 times.
Further, by December 31, 2022, the inventory turnover ratio dropped to 29.35 times, indicating a potential slowdown in the rate at which the company was selling its inventory. A significant decline was observed by December 31, 2023, with the ratio plummeting to 3.47 times, suggesting potential inefficiencies or challenges in managing inventory during that year.
Nevertheless, there was a partial recovery by December 31, 2024, with the inventory turnover improving to 15.05 times, although it remained below the levels seen in the earlier years. Overall, the fluctuating trend in Pitney Bowes Inc's inventory turnover ratios suggests varying levels of inventory management efficiency and sales performance over the analyzed period.