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


See also:

AT&T Inc Inventory Turnover (Quarterly Data)