Upbound Group Inc. (UPBD)
Inventory turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 2,240,210 | 1,970,160 | 2,165,860 | 2,348,440 | 1,142,040 |
| Inventory | US$ in thousands | 5,522 | 6,398 | 6,988 | 6,405 | 5,439 |
| Inventory turnover | 405.69 | 307.93 | 309.94 | 366.66 | 209.97 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $2,240,210K ÷ $5,522K
= 405.69
Based on the inventory turnover data provided for Upbound Group Inc. over the years 2020 to 2024, the company has shown a consistently high level of efficiency in managing its inventory. The inventory turnover ratio has been steadily increasing from 209.97 in December 2020 to 405.69 in December 2024.
A higher inventory turnover ratio indicates that the company is selling its inventory quickly, replenishing stock efficiently, and minimizing the amount of capital tied up in inventory. This trend reflects positively on Upbound Group Inc.'s operational effectiveness and ability to manage its inventory levels effectively.
The significant improvement in inventory turnover over the years suggests that Upbound Group Inc. has been successful in optimizing its inventory management practices, streamlining its supply chain processes, and potentially enhancing its sales and production planning capabilities.
Overall, the upward trend in inventory turnover for Upbound Group Inc. indicates a strong performance in inventory management, which could contribute to improved financial performance and profitability in the long run.
Peer comparison
Dec 31, 2024