Royal Gold Inc (RGLD)
Inventory turnover
| Dec 31, 2024 | 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 | 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 | 138,791 | 135,579 | 129,594 | 127,395 | 130,284 | 137,807 | 137,309 | 137,980 | 133,541 | 130,289 | 131,364 | 126,613 | 126,650 | 121,641 | 118,288 | 121,305 | 117,315 | 115,427 | 170,684 | 145,970 |
| Inventory | US$ in thousands | 12,973 | 11,620 | 10,904 | 11,417 | 9,788 | 9,851 | 10,657 | 11,599 | 12,656 | 13,691 | 13,172 | 8,490 | 12,222 | 17,684 | 14,491 | 13,900 | 17,159 | 11,671 | 11,947 | 15,336 |
| Inventory turnover | 10.70 | 11.67 | 11.88 | 11.16 | 13.31 | 13.99 | 12.88 | 11.90 | 10.55 | 9.52 | 9.97 | 14.91 | 10.36 | 6.88 | 8.16 | 8.73 | 6.84 | 9.89 | 14.29 | 9.52 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $138,791K ÷ $12,973K
= 10.70
The inventory turnover ratio for Royal Gold Inc has shown fluctuations over the reporting periods provided. In analyzing the trend, we observe a decreasing inventory turnover ratio from March 2020 to September 2021, indicating a longer time taken to sell inventory during these periods. The lowest inventory turnover was reported on September 30, 2021, at 6.84, suggesting inventory management challenges.
However, from March 2022 to December 31, 2024, there is a general increasing trend in the inventory turnover ratio. This may suggest improvements in inventory management efficiency as the company was able to sell inventory more rapidly during these periods. The highest inventory turnover ratio was reported on March 31, 2024, at 13.99, indicating a faster pace of inventory turnover.
Overall, fluctuations in the inventory turnover ratio of Royal Gold Inc may reflect changes in sales volumes, demand dynamics, and inventory management practices within the company. It is essential for stakeholders to monitor this ratio continuously to assess the effectiveness of inventory management in optimizing the company's operations and financial performance.