NCR Voyix Corporation (VYX)
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 | 2,247,000 | 2,490,000 | 3,335,000 | 4,102,000 | 4,857,000 | 5,787,000 | 5,878,000 | 5,956,000 | 5,986,000 | 5,993,000 | 5,893,000 | 5,588,000 | 5,263,000 | 5,035,000 | 4,816,000 | 4,707,000 | 4,683,000 | 4,734,000 | 4,848,000 | 4,975,000 |
| Inventory | US$ in thousands | 208,000 | 208,000 | 220,000 | 259,000 | 254,000 | 725,000 | 709,000 | 792,000 | 772,000 | 827,000 | 858,000 | 805,000 | 754,000 | 747,000 | 695,000 | 634,000 | 601,000 | 748,000 | 782,000 | 747,000 |
| Inventory turnover | 10.80 | 11.97 | 15.16 | 15.84 | 19.12 | 7.98 | 8.29 | 7.52 | 7.75 | 7.25 | 6.87 | 6.94 | 6.98 | 6.74 | 6.93 | 7.42 | 7.79 | 6.33 | 6.20 | 6.66 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $2,247,000K ÷ $208,000K
= 10.80
Inventory turnover measures how efficiently a company is managing its inventory by indicating the number of times a company sells and replaces its inventory during a specific period. The inventory turnover ratio for NCR Voyix Corporation has fluctuated over the past few years.
From March 31, 2020, to September 30, 2021, the inventory turnover ratio remained relatively stable between 6.20 and 7.42, indicating consistent inventory management. However, from December 31, 2021, to December 31, 2024, there were significant fluctuations in the ratio. The ratio spiked to 19.12 on December 31, 2023, before dropping to 10.80 by December 31, 2024.
A high inventory turnover ratio, such as the one observed on December 31, 2023, may signify efficient inventory management or possibly a lack of adequate inventory levels leading to potential stockouts. Conversely, a low turnover ratio, like the one on December 31, 2024, could imply excess inventory levels, obsolescence, or slow-moving inventory, which can tie up capital and decrease profitability.
Overall, NCR Voyix Corporation should monitor its inventory turnover ratio closely to ensure optimal inventory management and balance between maintaining sufficient stock levels and maximizing profitability.