Verisk Analytics Inc (VRSK)

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	1,054,200	1,049,900	1,043,700	964,000	876,500	855,500	885,000	863,600	927,900	987,900	1,006,500	1,075,900	1,057,800	1,053,100	1,027,800	998,700	994,000	993,300	996,200	1,003,100
Inventory	US$ in thousands	—	77,000	0	0	84,500	89,800	91,400	80,100	446,300	102,400	0	157,200	102,600	102,900	98,800	82,900	81,200	82,300	81,600	66,600
Inventory turnover		—	13.64	—	—	10.37	9.53	9.68	10.78	2.08	9.65	—	6.84	10.31	10.23	10.40	12.05	12.24	12.07	12.21	15.06

December 31, 2024 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $1,054,200K ÷ $—K
= —

Verisk Analytics Inc's inventory turnover ratio measures how efficiently the company manages its inventory by indicating how many times the company sells and replaces its inventory during a given period. A higher inventory turnover indicates that the company is selling goods quickly and efficiently.

Analyzing the inventory turnover data provided:
- The inventory turnover ratio consistently decreased from March 2020 to December 2021, signifying a decline in the speed of inventory turnover.
- There was a significant drop in inventory turnover from March 2022 to December 2022, hitting a low of 2.08, indicating potential issues with inventory management during this period.
- The inventory turnover ratio fluctuated in the range of 9.53 to 13.64 from September 2023 to September 2024, showing some variability in managing inventory.
- Notably, there are missing data points indicating that inventory turnover might not have been calculable or reported for these periods.

Overall, the trend in Verisk Analytics Inc's inventory turnover shows some inconsistency and a period of concern in mid-2022. It would be important to further investigate the reasons behind these fluctuations to ensure effective inventory management practices are in place going forward.