Willscot Mobile Mini Holdings Corp A (WSC)
Inventory turnover
| Mar 31, 2025 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 1,100,906 | 1,112,014 | 1,115,048 | 1,100,240 | 1,058,850 | 1,030,897 | 1,023,928 | 1,048,629 | 1,067,181 | 1,066,920 | 1,044,140 | 991,302 | 956,825 | 926,689 | 890,630 | 861,378 | 769,984 | 707,672 | 673,135 | 634,298 |
| Inventory | US$ in thousands | 47,736 | 47,473 | 52,576 | 49,727 | 47,622 | 47,406 | 44,729 | 44,360 | 42,007 | 41,030 | 44,873 | 41,824 | 39,885 | 32,739 | 30,943 | 32,294 | 24,132 | 21,655 | 22,955 | 14,800 |
| Inventory turnover | 23.06 | 23.42 | 21.21 | 22.13 | 22.23 | 21.75 | 22.89 | 23.64 | 25.40 | 26.00 | 23.27 | 23.70 | 23.99 | 28.31 | 28.78 | 26.67 | 31.91 | 32.68 | 29.32 | 42.86 |
March 31, 2025 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $1,100,906K ÷ $47,736K
= 23.06
The inventory turnover ratio of Willscot Mobile Mini Holdings Corp A exhibited notable fluctuations over the analyzed period from June 2020 to March 2025. Initially, the ratio was high at 42.86 in June 2020, indicating a very efficient management of inventory with rapid sales relative to stock levels. However, there was a significant decline by September 2020, dropping to 29.32, followed by a modest increase to 32.68 at the end of 2020.
Throughout 2021, the inventory turnover generally remained within the 26.67 to 28.78 range, reflecting a relatively stable but somewhat lower efficiency in inventory management compared to mid-2020. During 2022 and into early 2023, the ratio further decreased to around the low 23s, with some fluctuations, reaching a low of 21.75 in December 2023. This downward trend may suggest a slowing rate of inventory sales or increased inventory levels relative to sales.
From late 2023 through March 2025, the ratio exhibited minor increases, ending at 23.06 in the first quarter of 2025. The overall trend indicates a persistent decline in inventory turnover since mid-2020, which could be indicative of changes in inventory management strategies, shifts in sales velocity, or alterations in demand for the company's products.
In summary, the analysis reveals that Willscot Mobile Mini Holdings Corp A's inventory turnover experienced a pronounced decrease from early 2020 through the subsequent years, generally remaining at lower levels in the 21–29 range. This sustained decline suggests a period of slower inventory sales or increased inventory accumulation relative to sales, warranting further investigation into operational factors or market conditions affecting inventory management efficiency.