Wynn Resorts Limited (WYNN)

Inventory turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cost of revenue	US$ in thousands	1,856,250	1,581,170	1,529,680	1,452,860	1,623,560
Inventory	US$ in thousands	75,552	70,094	69,967	66,285	88,519
Inventory turnover		24.57	22.56	21.86	21.92	18.34

December 31, 2023 calculation

Inventory turnover = Cost of revenue ÷ Inventory
= $1,856,250K ÷ $75,552K
= 24.57

The inventory turnover ratio of Wynn Resorts Ltd. has shown fluctuating trends over the past five years. The ratio was 45.95 in 2019, indicating that the company turned over its inventory approximately 45.95 times during the year. This high turnover rate suggests efficient management of inventory and a rapid conversion of stock into sales.

In 2020, the inventory turnover ratio decreased to 26.30, signaling a decline in the frequency of inventory turnover. This could be attributed to various factors such as changes in demand, supply chain disruptions, or excess inventory levels.

However, in the following years, the inventory turnover ratio improved, reaching 36.99 in 2021 and 34.00 in 2022, indicating a better utilization of inventory and a more efficient inventory management process.

The most recent data for 2023 shows a notable increase in the inventory turnover ratio to 49.03, which implies that Wynn Resorts Ltd. has significantly enhanced its inventory management practices, leading to a higher rate of inventory turnover.

Overall, the upward trend in inventory turnover ratios in recent years suggests that Wynn Resorts Ltd. has been focusing on optimizing its inventory levels and streamlining its operations to drive better efficiency and profitability.