Starbucks Corporation (SBUX)
Inventory turnover
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 13,461,800 | 13,066,900 | 12,100,300 | 10,839,100 | 9,780,300 |
| Inventory | US$ in thousands | 1,777,300 | 1,806,400 | 2,176,600 | 1,603,900 | 1,551,400 |
| Inventory turnover | 7.57 | 7.23 | 5.56 | 6.76 | 6.30 |
September 30, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $13,461,800K ÷ $1,777,300K
= 7.57
Starbucks Corporation's inventory turnover has shown a consistent upward trend over the past five years. The ratio increased from 6.30 in September 2020 to 7.57 in September 2024, indicating that the company is more efficient in managing its inventory levels. This improvement suggests that Starbucks is selling its inventory at a quicker pace, which is a positive sign of operational efficiency and effective inventory management. Overall, the increasing inventory turnover ratio reflects well on Starbucks Corporation's ability to control its inventory and generate sales from its products.
Peer comparison
Sep 30, 2024
Company name
Symbol
Inventory turnover
Starbucks Corporation
SBUX
7.57
Shake Shack Inc
SHAK
103.02
The Wendy’s Co
WEN
177.59