Seagate Technology PLC (STX)
Inventory turnover
| 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 | Dec 31, 2019 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 5,411,000 | 5,441,000 | 5,779,000 | 6,356,000 | 6,635,000 | 7,261,000 | 7,714,000 | 8,171,000 | 8,773,000 | 9,035,000 | 9,015,000 | 8,760,000 | 8,303,000 | 8,017,000 | 7,991,000 | 8,000,000 | 8,210,000 | 8,010,000 | 7,772,000 | 7,780,000 |
| Inventory | US$ in thousands | 1,239,000 | 1,191,000 | 1,053,000 | 1,052,000 | 1,140,000 | 1,200,000 | 1,194,000 | 1,606,000 | 1,565,000 | 1,479,000 | 1,287,000 | 1,188,000 | 1,204,000 | 1,281,000 | 1,318,000 | 1,323,000 | 1,142,000 | 1,102,000 | 1,148,000 | 1,041,000 |
| Inventory turnover | 4.37 | 4.57 | 5.49 | 6.04 | 5.82 | 6.05 | 6.46 | 5.09 | 5.61 | 6.11 | 7.00 | 7.37 | 6.90 | 6.26 | 6.06 | 6.05 | 7.19 | 7.27 | 6.77 | 7.47 |
June 30, 2024 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $5,411,000K ÷ $1,239,000K
= 4.37
Inventory turnover is a crucial financial ratio that reflects how efficiently a company manages its inventory. For Seagate Technology PLC, the inventory turnover ratio has exhibited fluctuations over the past few quarters. The ratio was highest at 7.47 for the quarter ending December 2019 and lowest at 4.37 for the quarter ending June 2024.
A high inventory turnover ratio indicates that Seagate is selling its inventory quickly, which is generally a positive signal of efficiency. Conversely, a low ratio may suggest excess inventory levels or difficulties in selling products.
Overall, Seagate's inventory turnover has shown variability but has generally remained at healthy levels, indicating reasonably efficient inventory management practices. It is essential for Seagate to continue monitoring and optimizing its inventory turnover to ensure optimal use of its resources and maintain healthy liquidity levels.
Peer comparison
Jun 30, 2024
Jun 30, 2024