Azenta Inc (AZTA)
Inventory turnover
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 808,375 | 606,393 | 601,077 | 825,248 | 732,896 |
| Inventory | US$ in thousands | 128,198 | 85,544 | 60,398 | 37,125 | 99,445 |
| Inventory turnover | 6.31 | 7.09 | 9.95 | 22.23 | 7.37 |
September 30, 2023 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $808,375K ÷ $128,198K
= 6.31
The inventory turnover of Azenta Inc has exhibited a declining trend over the last five years. The turnover ratio decreased from 4.67 in 2019 to 3.14 in 2023. This indicates that the company takes longer to sell its inventory relative to its cost of goods sold. A lower inventory turnover could be a sign of overstocking or slow-moving inventory, which may lead to increased carrying costs and potential obsolescence. It is essential for Azenta Inc to effectively manage its inventory levels to improve the turnover ratio and optimize its working capital efficiency.
Peer comparison
Sep 30, 2023
Company name
Symbol
Inventory turnover
Azenta Inc
AZTA
6.31
Axcelis Technologies Inc
ACLS
2.09
Lam Research Corp
LRCX
2.17
Veeco Instruments Inc
VECO
2.03