XML 29 R12.htm IDEA: XBRL DOCUMENT v3.24.0.1
Inventories
 12 Months Ended
Dec. 31, 2023
Inventory Disclosure [Abstract]  
Inventories
4.
INVENTORIES
Inventories at LIFO value consist of the following as of December 31 (in thousands):
 
    
2023
     
2022
  
Finished goods
    $ 88,840      $ 107,114  
Raw materials
      51,688        69,292  
  
 
 
     
 
 
  
Total FIFO inventories
      140,528        176,406  
Reserve to adjust inventories to LIFO value
      (33,439 )       (35,051 ) 
  
 
 
     
 
 
  
Total LIFO inventories
    $ 107,089      $ 141,355  
  
 
 
     
 
 
  
Inventory related to Trex Residential composite decking and railing products is stated at the lower of LIFO cost or market. The Company periodically reviews its inventory for slow moving or obsolete items and writes down the related products to estimated market.
Under the LIFO method, reductions in inventory cause a portion of the Company’s cost of sales to be based on historical costs rather than current year costs. During the year ended December 31, 2023, the Company had a liquidation of inventories produced in the prior year ended December 31, 2022. As a result, a portion of the Company’s cost of sales is based on prior year costs rather than on current year costs. However, the prior year cost of inventory closely approximates the current year cost of inventory and the resulting effect of the liquidation of inventories on the Company’s cost of sales was immaterial in the year ended December 31, 2023,.