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)