Regal Beloit Corporation (RRX)
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 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 3,844,600 | 3,939,100 | 4,125,600 | 4,352,000 | 4,183,400 | 3,976,500 | 3,786,500 | 3,497,600 | 3,548,200 | 3,592,500 | 3,313,000 | 3,032,500 | 2,724,600 | 2,409,200 | 2,307,700 | 2,136,100 | 2,098,300 | 2,079,300 | 2,113,100 | 2,289,000 |
| Inventory | US$ in thousands | 1,227,500 | 1,324,500 | 1,309,900 | 1,319,100 | 1,274,200 | 1,302,800 | 1,576,100 | 1,732,500 | 1,336,900 | 1,361,500 | 1,388,400 | 1,336,900 | 1,106,600 | 808,200 | 759,200 | 722,200 | 690,300 | 677,200 | 679,700 | 655,300 |
| Inventory turnover | 3.13 | 2.97 | 3.15 | 3.30 | 3.28 | 3.05 | 2.40 | 2.02 | 2.65 | 2.64 | 2.39 | 2.27 | 2.46 | 2.98 | 3.04 | 2.96 | 3.04 | 3.07 | 3.11 | 3.49 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $3,844,600K ÷ $1,227,500K
= 3.13
Regal Beloit Corporation's inventory turnover has shown fluctuations over the period from March 31, 2020, to December 31, 2024. The inventory turnover ratio indicates the company's efficiency in managing its inventory levels and converting them into sales during a specific period.
The trend in Regal Beloit Corporation's inventory turnover ratio highlights a gradual decline from a high of 3.49 on March 31, 2020, to a low of 2.02 on March 31, 2023, indicating a decrease in the rate at which the company is selling its inventory. This trend suggests potential inefficiencies in inventory management or challenges in sales performance during this period.
However, there is a slight recovery in the inventory turnover ratio from March 31, 2023, onwards, with the ratio gradually increasing to 3.13 on December 31, 2024. This improvement may indicate enhanced inventory management practices or increased sales activities, leading to a more effective utilization of inventory.
It is essential for Regal Beloit Corporation to monitor its inventory turnover ratio continuously and identify the underlying factors contributing to the fluctuations observed. Adjustments in inventory management strategies and sales initiatives may be necessary to optimize inventory turnover and improve overall operational efficiency in the future.
Peer comparison
Dec 31, 2024
Dec 31, 2024