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Smurfit WestRock (LSE:SWR) Inventory Turnover : 1.75 (As of Dec. 2024)


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What is Smurfit WestRock 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. Smurfit WestRock's Cost of Goods Sold for the three months ended in Dec. 2024 was £4,823 Mil. Smurfit WestRock's Average Total Inventories for the quarter that ended in Dec. 2024 was £2,759 Mil. Smurfit WestRock's Inventory Turnover for the quarter that ended in Dec. 2024 was 1.75.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Smurfit WestRock's Days Inventory for the three months ended in Dec. 2024 was 52.21.

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. Smurfit WestRock's Inventory-to-Revenue for the quarter that ended in Dec. 2024 was 0.46.


Smurfit WestRock Inventory Turnover Historical Data

The historical data trend for Smurfit WestRock'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.

* Premium members only.

Smurfit WestRock Inventory Turnover Chart

Smurfit WestRock Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Inventory Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7.25 7.39 8.44 6.99 7.12

Smurfit WestRock Quarterly Data
Mar17 Jun17 Sep17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Sep23 Dec23 Jun24 Sep24 Dec24
Inventory Turnover Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.82 1.80 1.90 2.63 1.75

Smurfit WestRock Inventory Turnover Calculation

Smurfit WestRock's Inventory Turnover for the fiscal year that ended in Dec. 2024 is calculated as

Inventory Turnover (A: Dec. 2024 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Dec. 2024 ) / ((Total Inventories (A: Dec. 2023 ) + Total Inventories (A: Dec. 2024 )) / count )
=13378.974 / ((950.37 + 2808.05) / 2 )
=13378.974 / 1879.21
=7.12

Smurfit WestRock's Inventory Turnover for the quarter that ended in Dec. 2024 is calculated as

Inventory Turnover (Q: Dec. 2024 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Dec. 2024 ) / ((Total Inventories (Q: Sep. 2024 ) + Total Inventories (Q: Dec. 2024 )) / count )
=4822.727 / ((2710.26 + 2808.05) / 2 )
=4822.727 / 2759.155
=1.75

* 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.


Smurfit WestRock  (LSE:SWR) 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.

Smurfit WestRock's Days Inventory for the three months ended in Dec. 2024 is calculated as:

Days Inventory =Average Total Inventories (Q: Dec. 2024 )/Cost of Goods Sold (Q: Dec. 2024 )*Days in Period
=2759.155/4822.727*365 / 4
=52.21

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.

Smurfit WestRock's Inventory to Revenue for the quarter that ended in Dec. 2024 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Dec. 2024 ) / Revenue (Q: Dec. 2024 )
=2759.155 / 5963.349
=0.46

* 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.


Smurfit WestRock Inventory Turnover Related Terms

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Smurfit WestRock Business Description

Traded in Other Exchanges
Address
Beech Hill, Clonskeagh, Dublin 4, Dublin, IRL, D04 N2R2
Smurfit WestRock manufactures corrugated packaging and consumer packaging, such as folding cartons and paperboard. After the merger of Smurfit Kappa and WestRock in summer 2024, Smurfit WestRock became the largest producer of containerboard in the world, with substantial operations in North America, South America, and Europe.

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