ProPetro Holding Corp (PUMP)
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 | 1,431,277 | 1,188,582 | 1,164,654 | 1,196,440 | 1,180,112 | 956,707 | 951,911 | 888,632 | 1,002,128 | 944,863 | 949,268 | 959,000 | 863,739 | 278,345 | 284,272 | 287,139 | 256,984 | 221,248 | 192,075 | 164,158 |
Inventory | US$ in thousands | 17,705 | 15,887 | 18,159 | 17,732 | 5,034 | 3,944 | 3,491 | 2,297 | 3,949 | 3,477 | 2,641 | 2,329 | 2,729 | 1,849 | 2,805 | 3,296 | 2,436 | 1,850 | 4,948 | 5,870 |
Inventory turnover | 80.84 | 74.81 | 64.14 | 67.47 | 234.43 | 242.57 | 272.68 | 386.87 | 253.77 | 271.75 | 359.44 | 411.76 | 316.50 | 150.54 | 101.34 | 87.12 | 105.49 | 119.59 | 38.82 | 27.97 |
December 31, 2023 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $1,431,277K ÷ $17,705K
= 80.84
The inventory turnover of ProPetro Holding Corp has shown significant fluctuations over the past few periods. From Dec 31, 2019 to Dec 31, 2023, the inventory turnover ranged from a low of 27.97 to a high of 411.76. The trend indicates that the company's efficiency in managing its inventory has been volatile, with periods of high turnover followed by lower turnover rates.
A high inventory turnover ratio, such as 411.76 on Mar 31, 2021, suggests that the company is selling its inventory quickly, which can be a positive indicator of efficient inventory management and strong sales. On the other hand, a low ratio, such as 27.97 on Sep 30, 2019, may indicate slow inventory movement, potentially leading to excess or obsolete inventory.
Overall, it is important for ProPetro Holding Corp to monitor its inventory turnover consistently and work towards maintaining a balance to ensure optimal utilization of resources and profitability.
Peer comparison
Dec 31, 2023
Dec 31, 2023