US Foods Holding Corp (USFD)
Inventory turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 34,922,000 | 33,788,000 | 29,383,000 | 23,278,000 | 25,564,000 |
| Inventory | US$ in thousands | 1,600,000 | 1,616,000 | 1,686,000 | 1,273,000 | 1,432,000 |
| Inventory turnover | 21.83 | 20.91 | 17.43 | 18.29 | 17.85 |
December 31, 2023 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $34,922,000K ÷ $1,600,000K
= 21.83
The inventory turnover for US Foods Holding Corp has shown a generally increasing trend over the past five years, indicating a more efficient management of inventory levels. The company's inventory turnover ratio has improved from 17.85 in 2019 to 21.83 in 2023. This suggests that US Foods Holding Corp is selling through its inventory more frequently, which can lead to lower carrying costs and potentially higher profitability. The consistent increase in inventory turnover reflects effective inventory management practices, such as optimized ordering and replenishment processes. Overall, the rising trend in inventory turnover for US Foods Holding Corp signals operational effectiveness and efficiency in managing its inventory levels.
Peer comparison
Dec 31, 2023