Zebra Technologies Corporation (ZBRA)
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 | 3,306,000 | 3,587,000 | 3,779,000 | 3,982,000 | 4,346,000 | 4,344,000 | 4,369,000 | 4,265,000 | 4,116,000 | 3,957,000 | 3,768,000 | 3,518,000 | 3,379,000 | 3,325,000 | 3,291,000 | 3,381,000 | 3,382,000 | 3,334,000 | 3,316,000 | 3,265,000 |
| Inventory | US$ in thousands | 804,000 | 848,000 | 864,000 | 835,000 | 860,000 | 814,000 | 632,000 | 469,000 | 491,000 | 438,000 | 485,000 | 528,000 | 511,000 | 484,000 | 513,000 | 443,000 | 474,000 | 468,000 | 484,000 | 510,000 |
| Inventory turnover | 4.11 | 4.23 | 4.37 | 4.77 | 5.05 | 5.34 | 6.91 | 9.09 | 8.38 | 9.03 | 7.77 | 6.66 | 6.61 | 6.87 | 6.42 | 7.63 | 7.14 | 7.12 | 6.85 | 6.40 |
December 31, 2023 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $3,306,000K ÷ $804,000K
= 4.11
The inventory turnover of Zebra Technologies Corp. has shown a declining trend over the past eight quarters. The company's inventory turnover ratio decreased from 6.61 in Q1 2022 to 3.06 in Q4 2023, indicating a longer average time taken to sell its inventory. This trend suggests that Zebra has been maintaining higher levels of inventory relative to its sales volume.
Although a decreasing inventory turnover ratio may signal inefficiencies in inventory management or potential overstocking, it is important to consider industry norms and seasonality factors when evaluating this metric. Zebra may need to closely monitor its inventory levels and adjust its procurement and sales strategies to optimize working capital and enhance overall operational efficiency.
Peer comparison
Dec 31, 2023
Dec 31, 2023