Ultra Clean Holdings Inc (UCTT)
Inventory turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 1,741,300 | 1,457,200 | 1,909,300 | 1,671,600 | 1,106,800 |
| Inventory | US$ in thousands | 381,000 | 374,500 | 443,900 | 379,200 | 180,400 |
| Inventory turnover | 4.57 | 3.89 | 4.30 | 4.41 | 6.14 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $1,741,300K ÷ $381,000K
= 4.57
Ultra Clean Holdings Inc's inventory turnover has been fluctuating over the past five years. The ratio decreased from 6.14 in December 2020 to 4.41 in December 2021, indicating a faster rate of inventory turnover. However, there was a further decline to 4.30 in December 2022 and 3.89 in December 2023, suggesting that the company took longer to sell its inventory in those years.
In December 2024, there was a slight improvement in the inventory turnover ratio to 4.57. This could imply that Ultra Clean Holdings Inc managed its inventory more efficiently compared to the previous year. Overall, the decreasing trend from 2020 to 2023 followed by a slight increase in 2024 may indicate fluctuations in sales volume, inventory management practices, or changes in demand for the company's products.
Peer comparison
Dec 31, 2024