World Kinect Corporation (WKC)
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 | 46,652,400 | 48,477,200 | 51,852,300 | 58,022,000 | 57,954,200 | 54,086,300 | 46,900,700 | 36,933,600 | 30,548,800 | 25,358,200 | 21,473,500 | 17,516,400 | 19,506,500 | 24,041,000 | 28,789,300 | 35,035,600 | 35,706,900 | 36,361,900 | 37,507,700 | 38,221,600 |
| Inventory | US$ in thousands | 664,600 | 654,200 | 552,600 | 618,600 | 779,900 | 727,500 | 903,800 | 680,500 | 477,900 | 439,300 | 426,500 | 333,700 | 344,300 | 291,000 | 308,800 | 332,800 | 593,300 | 582,100 | 555,800 | 598,700 |
| Inventory turnover | 70.20 | 74.10 | 93.83 | 93.80 | 74.31 | 74.35 | 51.89 | 54.27 | 63.92 | 57.72 | 50.35 | 52.49 | 56.66 | 82.62 | 93.23 | 105.28 | 60.18 | 62.47 | 67.48 | 63.84 |
December 31, 2023 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $46,652,400K ÷ $664,600K
= 70.20
World Kinect Corp's inventory turnover has exhibited fluctuations over the past eight quarters, ranging from a low of 51.89 in Q2 2022 to a high of 93.83 in Q2 2023. This metric measures the company's efficiency in managing its inventory levels and converting them into sales. A high inventory turnover ratio indicates that the company is selling its inventory quickly, which can be indicative of strong demand or effective inventory management.
The increasing trend in inventory turnover from Q4 2022 to Q2 2023 suggests an improvement in inventory management efficiency. However, the stability in inventory turnover from Q2 2023 to Q4 2023 indicates that the company has been able to maintain this efficiency level.
Overall, World Kinect Corp's inventory turnover ratio has been relatively healthy and consistent, reflecting effective inventory management practices. This stable and relatively high inventory turnover ratio indicates that the company is efficiently managing its inventory levels and converting them into sales, which is a positive sign for its operational performance.