Trinity Industries (Trinity Industries) Inventory Turnover : 0.93 (As of Dec. 2023)

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What is Trinity Industries 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. Trinity Industries's Cost of Goods Sold for the three months ended in Dec. 2023 was $637 Mil. Trinity Industries's Average Total Inventories for the quarter that ended in Dec. 2023 was $682 Mil. Trinity Industries's Inventory Turnover for the quarter that ended in Dec. 2023 was 0.93.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Trinity Industries's Days Inventory for the three months ended in Dec. 2023 was 97.67.

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. Trinity Industries's Inventory-to-Revenue for the quarter that ended in Dec. 2023 was 0.85.

Trinity Industries Inventory Turnover Historical Data

The historical data trend for Trinity Industries'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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Trinity Industries Inventory Turnover Chart

Trinity Industries Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Inventory Turnover

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4.55

3.69

3.23

3.03

3.74

Trinity Industries Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
Inventory Turnover	Get a 7-Day Free Trial															0.75	0.85	0.96	1.04	0.93

Trinity Industries Inventory Turnover Calculation

Trinity Industries'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 )
=	2456.2	/ (	(629.4	+	684.3)	/	2 )
=	2456.2	/	656.85
=	3.74

Trinity Industries'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 )
=	637	/ (	(679.4	+	684.3)	/	2 )
=	637	/	681.85
=	0.93

Trinity Industries (NYSE:TRN) 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.

Trinity Industries'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
	=	681.85	/	637	*	365 / 4
	=	97.67

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.

Trinity Industries'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 )
	=	681.85	/	797.9
	=	0.85

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.

Trinity Industries Inventory Turnover Related Terms

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Trinity Industries (Trinity Industries) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Industrials » Transportation » Trinity Industries Inc (NYSE:TRN) » Definitions » Inventory Turnover

Comparable Companies

Traded in Other Exchanges

TTA:Germany TTA:Germany

Address

14221 N. Dallas Parkway, Suite 1100, Dallas, TX, USA, 75254-2957

Website

https://www.trin.net

Trinity Industries Inc. sells and leases railroad products and railcar maintenance services in North America. The company operates under the name TrinityRail in three main segments: railcar leasing and management services, which owns railcars and provides fleet management and administration services; rail products, which builds, sells, and modifies freight and tank railcars and their components; and all other, which sells highway products such as guardrail and other highway barriers. Customers include railroads, leasing companies, and shipping companies in the industries of agriculture, construction, consumer products, energy, and chemicals.

Executives

Eric R Marchetto	other: Officer Trinity Rail	14221 N DALLAS PARKWAY, SUITE 1100, DALLAS TX 75254
Gregory B Mitchell	other: Chief Commercial Officer	14221 N DALLAS PARKWAY, SUITE 1100, DALLAS TX 75254
Scott M Ewing	officer: EVP & Chief Legal Officer	14221 N DALLAS PARKWAY SUITE 1100, DALLAS TX 75254
Jean Savage	director	14221 N DALLAS PARKWAY, SUITE 1100, DALLAS TX 75254
Todd Maclin	director	P.O. BOX 619100, DALLAS TX 75261
Biesterfeld Robert C Jr	director	14701 CHARLSON RD, EDEN PRAIRIE MN 55347
Veena M Lakkundi	director	3M COMPANY, 3M CENTER, BLDG 220 09 E-02, ST. PAUL MN 55144-1000
Brian D Madison	other: President, TILC	14221 N DALLAS PARKWAY, SUITE 1100, DALLAS TX 75254
Valueact Capital Master Fund, L.p.	director, 10 percent owner, other: See Remarks	ONE LETTERMAN DRIVE, BUILDING D, 4TH FLOOR, SAN FRANCISCO CA 94129
Jason G. Anderson	director	ONE LETTERMAN DRIVE, BUILDING D, FOURTH FLOOR, SAN FRANCISCO CA 94129
John L Adams	officer: Executive Vice President	2525 STEMMONS FREEWAY, DALLAS TX 75207
Melendy E Lovett	director	14221 N DALLAS PARKWAY, SUITE 1100, DALLAS TX 75254
William P Ainsworth	director	510 LAKE COOK ROAD, SUITE 100, DEERFIELD X1 60015
Brandon Boze	director, 10 percent owner, other: See Remarks	ONE LETTERMAN DRIVE, BUILDING D, 4TH FLOOR, SAN FRANCISCO CA 94129
Tyrone Michael Jordan	director	8501 NORTH SCOTTSDALE ROAD, SUITE 100, SCOTTSDALE AZ 85253