Public Service Enterprise Group Inc (PEG)
Inventory turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 4,685,000 | 4,876,000 | 7,311,000 | 3,061,000 | 3,408,000 |
| Inventory | US$ in thousands | 759,000 | 540,000 | 448,000 | 601,000 | 587,000 |
| Inventory turnover | 6.17 | 9.03 | 16.32 | 5.09 | 5.81 |
December 31, 2023 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $4,685,000K ÷ $759,000K
= 6.17
Public Service Enterprise Group Inc.'s inventory turnover has shown fluctuations over the past five years. In 2023, the inventory turnover ratio decreased to 3.19 compared to the previous year's 4.19. This decline indicates that the company took longer to sell its inventory in 2023 as compared to 2022. However, in 2022 and 2021, the inventory turnover ratio was relatively higher at 4.19 and 4.70, respectively, suggesting the company managed its inventory efficiently during those years.
The inventory turnover ratio in 2020 was 3.48, which was lower than in 2021 but higher than in 2019 (3.76). This indicates a moderate performance in inventory management in 2020 compared to the adjacent years. Overall, the company should focus on monitoring and optimizing its inventory levels to improve efficiency in inventory turnover for better operational performance and profitability.
Peer comparison
Dec 31, 2023