Rockwell Automation Inc (ROK)
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 | 7,256,100 | 7,681,000 | 7,679,500 | 7,729,600 | 7,586,000 | 7,057,700 | 6,841,300 | 6,569,700 | 6,487,200 | 6,321,800 | 6,234,200 | 6,091,700 | 5,816,000 | 5,556,800 | 5,246,100 | 5,150,600 | 5,239,600 | 5,359,800 | 5,446,300 | 5,445,800 |
| Inventory | US$ in thousands | 1,293,100 | 1,356,400 | 1,384,700 | 1,474,000 | 1,404,900 | 1,435,200 | 1,328,500 | 1,270,500 | 1,054,200 | 989,100 | 931,200 | 868,900 | 798,100 | 734,400 | 681,100 | 640,600 | 584,000 | 674,800 | 629,000 | 625,300 |
| Inventory turnover | 5.61 | 5.66 | 5.55 | 5.24 | 5.40 | 4.92 | 5.15 | 5.17 | 6.15 | 6.39 | 6.69 | 7.01 | 7.29 | 7.57 | 7.70 | 8.04 | 8.97 | 7.94 | 8.66 | 8.71 |
September 30, 2024 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $7,256,100K ÷ $1,293,100K
= 5.61
The inventory turnover ratio for Rockwell Automation Inc has shown some fluctuation over the past eight quarters, ranging from a low of 5.15 to a high of 8.97. The company's inventory turnover has generally been on an upward trend, with occasional dips in between. A higher inventory turnover ratio indicates that the company is selling its inventory more frequently within a given period, which is generally a positive indicator of efficient inventory management.
For the most recent quarter, the inventory turnover ratio stands at 5.61, which suggests that Rockwell Automation Inc is turning over its inventory approximately 5.61 times during the year. This figure indicates a moderate level of efficiency in managing its inventory levels. It is essential for the company to strike a balance between maintaining adequate inventory levels to meet demand and avoiding excess inventory that can tie up resources and lead to potential obsolescence.
Overall, Rockwell Automation Inc's inventory turnover has been showing a generally positive trend, reflecting effective inventory management practices. However, it is crucial for the company to continue monitoring and optimizing its inventory turnover to ensure efficient operations and maximize profitability.
Peer comparison
Sep 30, 2024
Sep 30, 2024