SanDisk Corp (SNDK)
Inventory turnover
| Mar 31, 2016 | Dec 31, 2015 | Sep 30, 2015 | Jun 30, 2015 | Mar 31, 2015 | Dec 31, 2014 | Sep 30, 2014 | Jun 30, 2014 | Mar 31, 2014 | Dec 31, 2013 | Sep 30, 2013 | Jun 30, 2013 | Mar 31, 2013 | Dec 31, 2012 | Sep 30, 2012 | Jun 30, 2012 | Mar 31, 2012 | Dec 31, 2011 | Sep 30, 2011 | Jun 30, 2011 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 3,342,975 | 3,307,803 | 3,384,995 | 3,464,893 | 3,586,437 | 3,559,853 | 3,435,072 | 3,260,973 | 3,121,031 | 3,106,742 | 3,115,222 | 3,197,669 | 3,169,022 | 3,164,798 | 3,157,583 | 3,083,025 | 3,102,698 | 3,043,670 | 2,871,192 | 2,666,375 |
| Inventory | US$ in thousands | 881,056 | 809,395 | 785,286 | 780,773 | 713,053 | 698,011 | 782,128 | 751,683 | 799,883 | 756,975 | 776,224 | 723,403 | 733,937 | 750,075 | 852,725 | 862,518 | 764,003 | 509,585 | 684,628 | 553,753 |
| Inventory turnover | 3.79 | 4.09 | 4.31 | 4.44 | 5.03 | 5.10 | 4.39 | 4.34 | 3.90 | 4.10 | 4.01 | 4.42 | 4.32 | 4.22 | 3.70 | 3.57 | 4.06 | 5.97 | 4.19 | 4.82 |
March 31, 2016 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $3,342,975K ÷ $881,056K
= 3.79
SanDisk Corp's inventory turnover ratio provides insight into how efficiently the company manages its inventory. A higher turnover ratio generally indicates that the company is selling its inventory quickly, while a lower ratio may suggest inefficiencies in inventory management or potential obsolescence.
Analyzing the data provided, we observe fluctuations in SanDisk Corp's inventory turnover over the years. The ratio ranged from a low of 3.57 in June 30, 2012, to a high of 5.97 in December 31, 2011. This variability suggests potential changes in the company's inventory management practices, sales patterns, or seasonal factors.
Overall, the company's inventory turnover ratio has remained relatively stable, ranging between 3.57 and 5.97, indicating a moderate level of efficiency in managing inventory. It is important to continue monitoring this ratio to ensure optimal inventory levels and avoid excessive holding or stockouts, which could impact the company's profitability and overall financial health.