Liveramp Holdings Inc (RAMP)

Inventory turnover

		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	Sep 30, 2019	Jun 30, 2019
Cost of revenue (ttm)	US$ in thousands	499,188	379,989	394,615	405,239	408,820	513,030	492,546	463,041	445,223	443,772	436,184	441,515	437,048	431,329	442,463	453,392	459,620	467,801	454,455	426,111
Inventory	US$ in thousands	2,604	24,254	—	16,283	0	0	12,308	13,160	0	24,283	19,807	21,245	8,900	12,260	14,815	25,109	14,815	27,443	32,133	8,108
Inventory turnover		191.70	15.67	—	24.89	—	—	40.02	35.19	—	18.28	22.02	20.78	49.11	35.18	29.87	18.06	31.02	17.05	14.14	52.55

March 31, 2024 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $499,188K ÷ $2,604K
= 191.70

The inventory turnover ratio for Liveramp Holdings Inc has varied over the past few quarters based on the given data. The ratio represents how many times the company's inventory is sold and replaced within a specific period. A higher inventory turnover generally indicates that the company is efficiently managing its inventory levels and generating sales.

In the latest reported quarter as of March 31, 2024, the inventory turnover ratio was exceptionally high at 191.70, signaling that Liveramp Holdings Inc is selling its inventory at a very rapid pace. This could be attributed to strong demand for the company's products or effective inventory management practices.

Looking at historical trends, there are fluctuations in the inventory turnover ratio, indicating potential changes in sales volumes or inventory management strategies. The company experienced a notable decrease in inventory turnover in some quarters, such as December 31, 2023, where the ratio was 15.67. This could suggest inventory build-up or slower sales during that period.

Overall, analyzing the inventory turnover ratio provides insights into Liveramp Holdings Inc's operational efficiency, sales performance, and inventory management effectiveness. It is important for investors and stakeholders to monitor this ratio alongside other financial metrics to evaluate the company's overall financial health and performance.