Xerox Corp (XRX)
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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 1,899,000 | 2,052,000 | 2,063,000 | 2,123,000 | 2,048,000 | 1,957,000 | 1,970,000 | 1,961,000 | 2,031,000 | 1,998,000 | 1,978,000 | 1,978,000 | 1,982,000 | 2,105,000 | 2,159,000 | 2,140,000 | 2,312,000 | 2,332,000 | 2,404,000 |
| Inventory | US$ in thousands | 695,000 | 732,000 | 737,000 | 736,000 | 661,000 | 728,000 | 782,000 | 863,000 | 797,000 | 777,000 | 765,000 | 732,000 | 696,000 | 788,000 | 815,000 | 841,000 | 843,000 | 978,000 | 922,000 |
| Inventory turnover | 2.73 | 2.80 | 2.80 | 2.88 | 3.10 | 2.69 | 2.52 | 2.27 | 2.55 | 2.57 | 2.59 | 2.70 | 2.85 | 2.67 | 2.65 | 2.54 | 2.74 | 2.38 | 2.61 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $1,899,000K ÷ $695,000K
= 2.73
The inventory turnover ratio for Xerox Corp has shown some fluctuation over the past few years. The ratio indicates how efficiently the company is managing its inventory by measuring how many times it sells and replaces its inventory during a specific period.
Based on the data provided:
- The inventory turnover ratio ranged from a low of 2.27 on March 31, 2023, to a high of 3.10 on December 31, 2023.
- Generally, a higher inventory turnover ratio is preferred as it suggests that the company is selling its inventory quickly and efficiently.
- Xerox Corp's inventory turnover ratio has mostly stayed within the range of 2.27 to 3.10, signaling a relatively stable performance in managing its inventory and efficiently converting it into sales.
- The company's inventory turnover ratio has recently been around 2.80-3.10, indicating a healthy rate of inventory turnover.
- Investors and analysts typically use the inventory turnover ratio to assess the company's operational efficiency and its ability to manage inventory effectively.
In conclusion, while Xerox Corp's inventory turnover ratio has shown some variability, it generally reflects a satisfactory level of efficiency in managing inventory turnover, which is crucial for maintaining healthy cash flows and profitability.
Peer comparison
Dec 31, 2024
Dec 31, 2024