United Airlines Holdings Inc (UAL)

Inventory turnover

		Dec 31, 2024	Sep 30, 2024	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
Cost of revenue (ttm)	US$ in thousands	39,926,000	46,757,000	46,394,000	43,297,000	40,591,000	37,409,000	36,494,000	36,283,000	34,315,000	32,391,000	29,660,000	26,166,000	23,913,000	21,799,000	19,856,000	18,265,000	20,385,000	23,445,000	26,849,000	30,718,000
Inventory	US$ in thousands	1,572,000	1,639,000	1,680,000	1,675,000	1,561,000	1,513,000	1,290,000	1,196,000	1,109,000	1,116,000	1,153,000	1,068,000	983,000	955,000	912,000	918,000	932,000	961,000	955,000	1,070,000
Inventory turnover		25.40	28.53	27.62	25.85	26.00	24.73	28.29	30.34	30.94	29.02	25.72	24.50	24.33	22.83	21.77	19.90	21.87	24.40	28.11	28.71

December 31, 2024 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $39,926,000K ÷ $1,572,000K
= 25.40

United Airlines Holdings Inc's inventory turnover has shown a decreasing trend from 28.71 in March 2020 to 25.40 in December 2024. This indicates that the company is taking longer to sell through its inventory over the analyzed period. A higher inventory turnover is generally preferred as it signifies that inventory is being managed efficiently and goods are selling quickly.

It is important to note that the ideal inventory turnover ratio can vary depending on the industry and business model. The decreasing trend may suggest challenges in managing inventory levels effectively or potential issues in demand forecasting or sales. Further analysis and comparison with industry averages or competitors' ratios would provide a deeper insight into the company's inventory management performance and competitiveness in the market.