Plexus Corp (PLXS)

Inventory turnover

		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	Dec 31, 2019
Cost of revenue (ttm)	US$ in thousands	3,799,025	3,773,226	3,845,260	3,922,154	4,021,387	4,112,124	4,050,436	3,889,159	2,852,980	2,592,421	2,438,552	1,586,028	2,368,512	2,430,060	2,463,035	2,467,009	2,496,173	1,633,864	1,586,613	2,336,487
Inventory	US$ in thousands	1,311,430	1,434,300	1,518,730	1,575,090	1,562,040	1,641,670	1,649,720	1,645,010	1,602,780	1,561,260	1,374,280	1,185,920	972,312	874,718	771,605	764,322	763,461	819,543	765,818	735,803
Inventory turnover		2.90	2.63	2.53	2.49	2.57	2.50	2.46	2.36	1.78	1.66	1.77	1.34	2.44	2.78	3.19	3.23	3.27	1.99	2.07	3.18

September 30, 2024 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $3,799,025K ÷ $1,311,430K
= 2.90

Inventory turnover ratio measures how efficiently a company manages its inventory by indicating how many times a company's inventory is sold and replaced over a period. The higher the ratio, the better, as it shows that inventory is being sold quickly. Plexus Corp's inventory turnover has fluctuated over the past few quarters, with a lower ratio indicating slower inventory movement. In the latest period, the inventory turnover ratio was 2.90, which suggests that Plexus Corp's inventory turnover has improved compared to the previous quarters. However, it is essential to monitor this ratio consistently to ensure inventory management efficiency and the company's overall operational performance.