Cleveland-Cliffs (Cleveland-Cliffs) Inventory Turnover

: 1.09 (As of Dec. 2023)

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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. Cleveland-Cliffs's Cost of Goods Sold for the three months ended in Dec. 2023 was $4,944 Mil. Cleveland-Cliffs's Average Total Inventories for the quarter that ended in Dec. 2023 was $4,526 Mil. Cleveland-Cliffs's Inventory Turnover for the quarter that ended in Dec. 2023 was 1.09.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Cleveland-Cliffs's Days Inventory for the three months ended in Dec. 2023 was 83.54.

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. Cleveland-Cliffs's Inventory-to-Revenue for the quarter that ended in Dec. 2023 was 0.89.

Cleveland-Cliffs Inventory Turnover Historical Data

The historical data trend for Cleveland-Cliffs'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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Cleveland-Cliffs Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Inventory Turnover

5.68

2.46

3.53

3.97

4.30

Cleveland-Cliffs Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
Inventory Turnover																0.96	1.03	1.11	1.10	1.09

Cleveland-Cliffs Inventory Turnover Calculation

Cleveland-Cliffs's Inventory Turnover for the fiscal year that ended in Dec. 2023 is calculated as

	Inventory Turnover (A: Dec. 2023 )
=	Cost of Goods Sold	/	Average Total Inventories
=	Cost of Goods Sold (A: Dec. 2023 )	/ (	(Total Inventories (A: Dec. 2022 )	+	Total Inventories (A: Dec. 2023 ))	/	count )
=	20605	/ (	(5130	+	4460)	/	2 )
=	20605	/	4795
=	4.30

Cleveland-Cliffs's Inventory Turnover for the quarter that ended in Dec. 2023 is calculated as

	Inventory Turnover (Q: Dec. 2023 )
=	Cost of Goods Sold	/	Average Total Inventories
=	Cost of Goods Sold (Q: Dec. 2023 )	/ (	(Total Inventories (Q: Sep. 2023 )	+	Total Inventories (Q: Dec. 2023 ))	/	count )
=	4944	/ (	(4592	+	4460)	/	2 )
=	4944	/	4526
=	1.09

Cleveland-Cliffs (NYSE:CLF) 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.

Cleveland-Cliffs's Days Inventory for the three months ended in Dec. 2023 is calculated as:

Days Inventory	=	Average Total Inventories (Q: Dec. 2023 )	/	Cost of Goods Sold (Q: Dec. 2023 )	*	Days in Period
	=	4526	/	4944	*	365 / 4
	=	83.54

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.

Cleveland-Cliffs's Inventory to Revenue for the quarter that ended in Dec. 2023 is calculated as

Inventory-to-Revenue	=	Average Total Inventories (Q: Dec. 2023 )	/	Revenue (Q: Dec. 2023 )
	=	4526	/	5112
	=	0.89

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.

Cleveland-Cliffs Inventory Turnover Related Terms

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Cleveland-Cliffs (Cleveland-Cliffs) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Basic Materials » Steel » Cleveland-Cliffs Inc (NYSE:CLF) » Definitions » Inventory Turnover

Comparable Companies

Traded in Other Exchanges

CLF:Mexico CVA:Germany CVA:Germany

Address

200 Public Square, Suite 3300, Cleveland, OH, USA, 44114-2315

Website

https://www.clevelandcliffs.com

Cleveland-Cliffs Inc is a flat-rolled steel producer and manufacturer of iron ore pellets in North America. It has one reportable segment -Steelmaking. It is vertically integrated from mined raw materials, direct reduced iron, and ferrous scrap to primary steelmaking and downstream finishing, stamping, tooling and tubing. It serves a diverse range of other markets due to its comprehensive offering of flat-rolled steel products. Geographically, it operates in the United States, Canada and other countries. The majority of revenue is from the United States. It is a supplier of steel to the automotive industry in North America.

Executives

Michael Ralph S Iii	director
Goncalves Celso L Jr	officer: EVP, CFO	200 PUBLIC SQUARE, SUITE 3300, CLEVELAND OH 44114
Arlene M Yocum	director	99 PINE STREET, ALBANY NY 12207
Lourenco Goncalves	director, officer: Chairman, President & CEO
Keith Koci	officer: EVP, Chief Financial Officer	ONE RIVERWAY, SUITE 1100, HOUSTON TX 77056
Douglas C Taylor	director	200 PUBLIC SQUARE, SUITE 3300, CLEVELAND OH 44114
Susan Miranda Green	director	11211 LANDY COURT, KENSINGTON MD 20895
Janet L Miller	director	200 PUBLIC SQUARE, SUITE 3300, CLEVELAND OH 44114
Fisher Robert P Jr	director	200 PUBLIC SQUARE, SUITE 3300, CLEVELAND OH 44067
John T Baldwin	director	200 PUBLIC SQUARE, SUITE 3300, CLEVELAND OH 44114
Arcelormittal North America Holdings Llc	other: Former 10% Owner	1 SOUTH DEARBORN STREET, 13TH FLOOR, CHICAGO IL 60603
Rcelormittal	other: Former 10% Owner	24-26, BOULEVARD D?AVRANCHES, L-1160 LUXEMBOURG, GRAND DUCHY OF LUXEMBOURG N4 00000
Kimberly A Floriani	officer: VP, Corp Controller & CAO	200 PUBLIC SQUARE, SUITE 3300, CLEVELAND OH 44114
M Ann Harlan	director
William K Gerber	director	999 WEST BIG BEAVER ROAD, TROY MI 48084