LG Display Co (LG Display Co) Inventory Turnover : 2.25 (As of Dec. 2023)

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What is LG Display Co 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. LG Display Co's Cost of Goods Sold for the three months ended in Dec. 2023 was $5,008 Mil. LG Display Co's Average Total Inventories for the quarter that ended in Dec. 2023 was $2,224 Mil. LG Display Co's Inventory Turnover for the quarter that ended in Dec. 2023 was 2.25.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. LG Display Co's Days Inventory for the three months ended in Dec. 2023 was 40.52.

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. LG Display Co's Inventory-to-Revenue for the quarter that ended in Dec. 2023 was 0.39.

LG Display Co Inventory Turnover Historical Data

The historical data trend for LG Display Co'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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LG Display Co Inventory Turnover Chart

LG Display Co Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Inventory Turnover

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8.88

10.60

8.62

7.66

7.74

LG Display Co 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															2.07	1.68	1.79	1.56	2.25

LG Display Co Inventory Turnover Calculation

LG Display Co'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 )
=	16088.418	/ (	(2220.934	+	1937.855)	/	2 )
=	16088.418	/	2079.3945
=	7.74

LG Display Co'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 )
=	5007.69	/ (	(2509.706	+	1937.855)	/	2 )
=	5007.69	/	2223.7805
=	2.25

LG Display Co (NYSE:LPL) 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.

LG Display Co'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
	=	2223.7805	/	5007.69	*	365 / 4
	=	40.52

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.

LG Display Co'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 )
	=	2223.7805	/	5669.991
	=	0.39

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.

LG Display Co Inventory Turnover Related Terms

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LG Display Co (LG Display Co) Business Description

Industry

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Traded in Other Exchanges

034220:Korea LGA:Germany LGA:Austria

Address

LG Twin Towers, 128 Yeoui-daero, Yeongdeungpo-gu, Seoul, KOR, 07336

Website

https://www.lgdisplay.com

LG Display is a South Korea-based company that is principally engaged in developing, manufacturing and selling TFT-LCD and OLED display panels. The company's products consist of panels for notebook computers, monitors, televisions, smartphones, tablets, and others. The company conducts direct sales through overseas subsidiaries in a number of countries, including the United States, Germany, Japan, Taiwan, China, and Singapore. These subsidiaries conduct sales activities and offer technical support to clients. The company generates the majority of its revenue from overseas markets, with the rest from South Korea.