Bio-Rad Laboratories Inc (BIO)

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	2,038,039	2,093,016	2,113,431	2,091,228	2,042,044	2,104,113	2,112,922	2,137,732	2,198,058	2,112,076	2,064,329	1,974,325	1,835,471	1,899,993	1,875,905	1,902,758	1,904,088	1,681,034	1,686,323	1,706,485
Inventory	US$ in thousands	780,517	775,818	776,600	752,937	719,316	685,900	657,130	605,492	572,239	588,911	598,989	605,156	622,253	640,228	628,401	557,029	554,007	587,987	589,897	590,438
Inventory turnover		2.61	2.70	2.72	2.78	2.84	3.07	3.22	3.53	3.84	3.59	3.45	3.26	2.95	2.97	2.99	3.42	3.44	2.86	2.86	2.89

December 31, 2023 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $2,038,039K ÷ $780,517K
= 2.61

Bio-Rad Laboratories Inc.'s inventory turnover has been gradually declining over the past eight quarters, dropping from 2.07 in Q1 2022 to 1.59 in Q4 2023. This trend indicates that the company is taking longer to sell its inventory, which may be concerning as it could lead to increased holding costs and potential obsolescence issues. A lower inventory turnover could also suggest inefficiencies in the company's inventory management or challenges in accurately forecasting customer demand. The company may need to reevaluate its inventory levels, streamline its supply chain, or adjust its sales and marketing strategies to improve inventory turnover and optimize working capital efficiency.