Shake Shack Inc (SHAK)

Inventory turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Cost of revenue	US$ in thousands	678,690	689,141	518,942	433,376	310,149
Inventory	US$ in thousands	6,014	5,404	4,184	3,850	2,888
Inventory turnover		112.85	127.52	124.03	112.57	107.39

December 31, 2024 calculation

Inventory turnover = Cost of revenue ÷ Inventory
= $678,690K ÷ $6,014K
= 112.85

Shake Shack Inc's inventory turnover has shown a consistent increase over the years. In 2020, the inventory turnover was 107.39, which improved to 112.57 in 2021, further increasing to 124.03 in 2022. The trend continued with inventory turnover reaching 127.52 in 2023 before experiencing a slight dip to 112.85 in 2024. Overall, Shake Shack Inc has demonstrated a strong ability to manage its inventory efficiently, with higher turnover rates indicating that the company is effectively selling and restocking its inventory within shorter timeframes.

Peer comparison

Dec 31, 2024

Company name

Symbol

Inventory turnover

Shake Shack Inc

SHAK

112.85

Starbucks Corporation