Super Micro Computer Inc (SMCI)
Inventory turnover
| Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 5,840,470 | 4,396,100 | 3,022,880 | 2,813,070 | 3,004,840 |
| Inventory | US$ in thousands | 1,445,560 | 1,545,610 | 1,040,960 | 851,498 | 670,188 |
| Inventory turnover | 4.04 | 2.84 | 2.90 | 3.30 | 4.48 |
June 30, 2023 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $5,840,470K ÷ $1,445,560K
= 4.04
The inventory turnover ratio measures how many times a company's inventory is sold and replaced over a certain period. It is a key indicator of a company's operational efficiency and inventory management.
Looking at the inventory turnover data for Super Micro Computer Inc over the past five years, we can observe the following trends:
- In the most recent year, ending on June 30, 2023, the inventory turnover ratio was 4.04. This represents a significant increase from the previous year, indicating that the company was able to sell and replace its inventory more frequently. This could be a positive sign of improved inventory management and efficient sales processes.
- In the year ending June 30, 2022, the inventory turnover ratio was 2.84, showing a slight decrease compared to the previous year. This could suggest that the company's inventory turnover slowed down, potentially indicating inefficiencies in inventory management or slower sales.
- In the year ending June 30, 2021, the inventory turnover ratio was 2.90, which remained relatively stable compared to the previous year. This suggests that the company maintained a consistent level of efficiency in managing its inventory and sales during that period.
- In the year ending June 30, 2020, the inventory turnover ratio was 3.30, showing a decrease from the previous year. This decline may indicate that the company experienced challenges in selling and replacing its inventory compared to the previous year.
- In the year ending June 30, 2019, the inventory turnover ratio was 4.48, which represented a relatively high level of inventory turnover. This indicates that the company was able to efficiently manage its inventory and generate sales during that period.
Overall, the fluctuations in Super Micro Computer Inc's inventory turnover ratio over the past five years suggest varying levels of efficiency in managing and selling its inventory. It's important to consider the company's business environment, industry trends, and specific operational strategies when interpreting these changes in inventory turnover.
Peer comparison
Jun 30, 2023