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Cazoo Group (Cazoo Group) Inventory Turnover : 2.23 (As of Jun. 2023)


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What is Cazoo Group Inventory Turnover?

Inventory Turnover measures how fast the company turns over its inventory within a year. It is calculated as Cost of Goods Sold divided by Total Inventories. Cazoo Group's Cost of Goods Sold for the six months ended in Jun. 2023 was $500 Mil. Cazoo Group's Average Total Inventories for the quarter that ended in Jun. 2023 was $224 Mil. Cazoo Group's Inventory Turnover for the quarter that ended in Jun. 2023 was 2.23.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Cazoo Group's Days Inventory for the six months ended in Jun. 2023 was 81.73.

Inventory-to-Revenue determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue. Cazoo Group's Inventory-to-Revenue for the quarter that ended in Jun. 2023 was 0.42.


Cazoo Group Inventory Turnover Historical Data

The historical data trend for Cazoo Group's Inventory Turnover can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

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Cazoo Group Inventory Turnover Chart

Cazoo Group Annual Data
Trend Dec19 Dec20 Dec21 Dec22
Inventory Turnover
0.05 2.11 2.63 3.90

Cazoo Group Semi-Annual Data
Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23
Inventory Turnover Get a 7-Day Free Trial 2.00 1.58 1.50 2.13 2.23

Cazoo Group Inventory Turnover Calculation

Cazoo Group's Inventory Turnover for the fiscal year that ended in Dec. 2022 is calculated as

Inventory Turnover (A: Dec. 2022 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Dec. 2022 ) / ((Total Inventories (A: Dec. 2021 ) + Total Inventories (A: Dec. 2022 )) / count )
=1496.131 / ((484.82 + 283.27) / 2 )
=1496.131 / 384.045
=3.90

Cazoo Group's Inventory Turnover for the quarter that ended in Jun. 2023 is calculated as

Inventory Turnover (Q: Jun. 2023 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Jun. 2023 ) / ((Total Inventories (Q: Dec. 2022 ) + Total Inventories (Q: Jun. 2023 )) / count )
=499.721 / ((283.27 + 164.292) / 2 )
=499.721 / 223.781
=2.23

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Cazoo Group  (OTCPK:CZOOF) Inventory Turnover Explanation

Inventory Turnover measures how fast the company turns over its inventory within a year. A higher Inventory Turnover means the company has light inventory. Therefore the company spends less money on storage, write downs, and obsolete inventory. If the inventory is too light, it may affect sales because the company may not have enough to meet demand.

1. Days Inventory indicates the number of days of goods in sales that a company has in the inventory.

Cazoo Group's Days Inventory for the six months ended in Jun. 2023 is calculated as:

Days Inventory =Average Total Inventories (Q: Jun. 2023 )/Cost of Goods Sold (Q: Jun. 2023 )*Days in Period
=223.781/499.721*365 / 2
=81.73

2. Inventory-to-Revenue determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue.

Cazoo Group's Inventory to Revenue for the quarter that ended in Jun. 2023 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Jun. 2023 ) / Revenue (Q: Jun. 2023 )
=223.781 / 528.487
=0.42

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Usually retailers pile up their inventories at holiday seasons to meet the stronger demand. Therefore, the inventory of a particular quarter of a year should not be used to calculate Inventory Turnover. An average inventory is a better indication.


Cazoo Group Inventory Turnover Related Terms

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Cazoo Group (Cazoo Group) Business Description

Traded in Other Exchanges
N/A
Address
41 Chalton Street, London, GBR, NW1 1JD
Cazoo Group Ltd transforms the car buying experience for consumers across the UK and Europe. It aims to make buying a car an easy experience, where consumers can simply and seamlessly purchase, finance, or subscribe to a car entirely online for either delivery or collection in less time.