Yum! Brands Inc (YUM)
Inventory turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 3,648,000 | 3,264,000 | 3,164,000 | 3,082,000 | 3,037,000 |
| Inventory | US$ in thousands | — | -24,000 | 442,000 | 312,000 | — |
| Inventory turnover | — | — | 7.16 | 9.88 | — |
December 31, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $3,648,000K ÷ $—K
= —
The inventory turnover ratio measures how many times a company's inventory is sold and replaced over a specific period. In the case of Yum! Brands Inc, the inventory turnover for the fiscal years ending December 31, 2021, and December 31, 2022, was 9.88 and 7.16 times, respectively.
A higher inventory turnover ratio indicates that the company is selling its inventory more quickly, which could suggest efficient inventory management and potential cost savings. On the other hand, a lower inventory turnover ratio may indicate overstocking, slow sales, or inefficient inventory management.
In analyzing Yum! Brands Inc's inventory turnover, it appears that there has been a decrease in inventory turnover from 2021 to 2022. This decrease could be attributed to various factors such as changes in consumer demand, supply chain disruptions, or shifts in sales strategies.
Furthermore, the lack of data for the years 2020, 2023, and 2024 makes it difficult to track the momentum of inventory turnover over consecutive years. To gain a more comprehensive understanding of Yum! Brands Inc's inventory management efficiency, it would be important to monitor future inventory turnover ratios and evaluate any trends or fluctuations in the company's inventory turnover performance.
Peer comparison
Dec 31, 2024