Tesla Inc (TSLA)

Inventory turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Cost of revenue	US$ in thousands	80,240,000	79,113,000	60,609,000	40,217,000	24,906,000
Inventory	US$ in thousands	12,017,000	13,626,000	12,839,000	5,757,000	4,101,000
Inventory turnover		6.68	5.81	4.72	6.99	6.07

December 31, 2024 calculation

Inventory turnover = Cost of revenue ÷ Inventory
= $80,240,000K ÷ $12,017,000K
= 6.68

Based on the inventory turnover data provided for Tesla Inc from December 31, 2020, to December 31, 2024, we observe fluctuations in the ratio. In 2020, the inventory turnover ratio was 6.07, indicating that Tesla turned over its inventory approximately 6.07 times during that period.

Subsequently, there was an increase in the inventory turnover ratio to 6.99 in 2021, suggesting that Tesla managed to sell its inventory more efficiently during that year. However, in 2022, the inventory turnover ratio decreased to 4.72, which could indicate potential issues with managing inventory or a slowdown in sales relative to inventory levels.

The ratio improved in 2023 to 5.81, showing a slight increase in inventory turnover efficiency. In the most recent year, 2024, the inventory turnover ratio further improved to 6.68, reflecting a positive trend in inventory management as Tesla increased its inventory turnover.

Overall, while there have been fluctuations in Tesla's inventory turnover ratio over the years, the generally increasing trend from 2020 to 2024 indicates improvements in inventory management efficiency and potentially better control over inventory levels in relation to sales.