Becton Dickinson and Company (BDX)

Inventory turnover

Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019
Cost of revenue (ttm) US$ in thousands 18,481,000 18,186,000 16,806,000 16,551,000 16,684,000 16,820,000 17,071,000 17,308,000 17,211,000 17,158,000 15,202,000 13,081,000 11,407,000 9,540,000 9,280,000 9,360,000 9,062,000 9,001,000 8,991,000 8,976,000
Inventory US$ in thousands 3,304,000 3,273,000 3,588,000 3,656,000 3,604,000 3,224,000 3,163,000 3,258,000 3,035,000 2,743,000 2,947,000 2,895,000 2,814,000 2,743,000 2,945,000 2,793,000 2,760,000 2,579,000 2,629,000 2,627,000
Inventory turnover 5.59 5.56 4.68 4.53 4.63 5.22 5.40 5.31 5.67 6.26 5.16 4.52 4.05 3.48 3.15 3.35 3.28 3.49 3.42 3.42

December 31, 2023 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $18,481,000K ÷ $3,304,000K
= 5.59

The inventory turnover ratio for Becton Dickinson & Co. has ranged between 2.78 and 3.46 over the past eight quarters. This ratio indicates how efficiently the company is managing its inventory by showing the number of times it sells and replaces its inventory within a given period.

The inventory turnover has shown a generally stable trend with minor fluctuations. The highest turnover rate of 3.46 was observed in Q1 2024, suggesting that the company effectively converted its inventory into sales during that period. On the other hand, the lowest turnover rate of 2.78 occurred in Q2 2023, indicating a slower conversion of inventory into sales during that quarter.

Overall, Becton Dickinson & Co. has maintained a moderate level of inventory turnover, which is generally considered positive as it signifies efficient inventory management and indicates that the company is not overstocked. Further analysis would be needed to understand if the variations in inventory turnover have been influenced by seasonal factors, changes in demand, or operational inefficiencies.


Peer comparison

Dec 31, 2023

Dec 31, 2023


See also:

Becton Dickinson and Company Inventory Turnover (Quarterly Data)