Upbound Group Inc. (UPBD)
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 | 1,970,155 | 1,959,766 | 1,996,256 | 2,062,030 | 2,165,860 | 2,273,929 | 2,368,015 | 2,435,807 | 2,348,439 | 2,034,347 | 1,708,826 | 1,386,537 | 1,142,039 | 1,109,686 | 1,072,074 | 1,035,714 | 1,025,781 | 1,011,243 | 999,070 | 983,060 |
| Inventory | US$ in thousands | 6,398 | 5,537 | 5,086 | 6,105 | 6,988 | 6,942 | 5,994 | 5,409 | 6,405 | 7,134 | 5,826 | 5,726 | 5,439 | 4,287 | 4,317 | 5,192 | 4,878 | 3,631 | 3,874 | 3,662 |
| Inventory turnover | 307.93 | 353.94 | 392.50 | 337.76 | 309.94 | 327.56 | 395.06 | 450.32 | 366.66 | 285.16 | 293.31 | 242.15 | 209.97 | 258.85 | 248.34 | 199.48 | 210.29 | 278.50 | 257.89 | 268.45 |
December 31, 2023 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $1,970,155K ÷ $6,398K
= 307.93
Inventory turnover is a key financial ratio that indicates how efficiently a company manages its inventory. Higher inventory turnover values generally suggest that a company is selling its inventory quickly, which can be a positive sign of operational efficiency.
Analyzing the inventory turnover of Upbound Group Inc. over the period from Dec 31, 2019, to Dec 31, 2023, shows fluctuations in the efficiency of inventory management. The inventory turnover has ranged from a low of 199.48 to a high of 450.32 during this period.
The trend indicates some variability in how quickly Upbound Group is selling its inventory. Generally, an increasing trend in inventory turnover can be viewed positively as it suggests improved efficiency in selling inventory. Conversely, a decreasing trend may indicate potential issues in managing inventory levels or sales.
It is crucial to delve deeper into the reasons behind these fluctuations in inventory turnover to determine whether they are due to changes in sales strategies, inventory management practices, market demand, or other factors. By identifying the root causes, Upbound Group can further enhance its operational efficiency and financial performance.
Peer comparison
Dec 31, 2023
Dec 31, 2023