ProPetro Holding Corp (PUMP)
Inventory turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 800,202 | 1,312,690 | 1,010,930 | 795,643 | 737,569 |
| Inventory | US$ in thousands | 16,162 | 17,705 | 5,034 | 3,949 | 2,729 |
| Inventory turnover | 49.51 | 74.14 | 200.82 | 201.48 | 270.27 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $800,202K ÷ $16,162K
= 49.51
The inventory turnover ratio of ProPetro Holding Corp has shown a declining trend over the years, indicating a longer time taken to sell its inventory. In December 31, 2020, the inventory turnover was 270.27 times, demonstrating the company's ability to quickly move its inventory. However, this ratio decreased to 201.48 times by December 31, 2021, and further declined to 200.82 times by December 31, 2022. Notably, the inventory turnover experienced a significant drop to 74.14 times by December 31, 2023, and decreased even further to 49.51 times by December 31, 2024. This downward trend may raise concerns about potential issues such as overstocking or declining sales, which could impact the company's profitability and liquidity in the future.
Peer comparison
Dec 31, 2024