BioLife Solutions Inc (BLFS)

Inventory turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Cost of revenue	US$ in thousands	52,851	106,674	189,322	56,292	24,721
Inventory	US$ in thousands	29,013	27,164	34,904	28,345	11,602
Inventory turnover		1.82	3.93	5.42	1.99	2.13

December 31, 2024 calculation

Inventory turnover = Cost of revenue ÷ Inventory
= $52,851K ÷ $29,013K
= 1.82

BioLife Solutions Inc's inventory turnover ratio has fluctuated over the past five years. In 2020, the company's inventory turnover was 2.13, indicating that on average, the company sold and replaced its inventory about 2.13 times during the year. The ratio decreased slightly to 1.99 in 2021, suggesting a slower rate of inventory turnover.

However, in 2022, the inventory turnover ratio saw a significant improvement, jumping to 5.42. This sharp increase indicates that the company was able to sell and replace its inventory more than five times within the year, which could be a positive sign of efficient inventory management or increased sales.

In 2023, the inventory turnover ratio decreased to 3.93, but still remained at a relatively high level compared to the earlier years. This indicates that the company continued to efficiently manage its inventory during that year.

In the most recent year, 2024, the inventory turnover ratio dropped to 1.82, reflecting a decline in the rate of inventory turnover compared to the previous year. This could suggest potential challenges in managing inventory effectively, such as overstocking or slower sales.

Overall, BioLife Solutions Inc's inventory turnover has shown fluctuations over the years, with a mix of improvements and declines. It is essential for the company to closely monitor its inventory levels and sales performance to ensure optimal inventory management and operational efficiency.