Badger Meter Inc (BMI)
Inventory turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 497,374 | 485,927 | 474,837 | 449,971 | 427,154 | 406,538 | 383,555 | 360,204 | 345,598 | 336,152 | 323,219 | 312,913 | 299,714 | 287,075 | 278,085 | 260,587 | 257,293 | 255,450 | 253,862 | 261,859 |
| Inventory | US$ in thousands | 143,408 | 158,517 | 161,266 | 160,444 | 153,674 | 147,788 | 144,749 | 132,344 | 119,856 | 113,608 | 111,437 | 103,020 | 99,611 | 91,824 | 90,793 | 84,251 | 81,586 | 76,987 | 76,846 | 74,430 |
| Inventory turnover | 3.47 | 3.07 | 2.94 | 2.80 | 2.78 | 2.75 | 2.65 | 2.72 | 2.88 | 2.96 | 2.90 | 3.04 | 3.01 | 3.13 | 3.06 | 3.09 | 3.15 | 3.32 | 3.30 | 3.52 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $497,374K ÷ $143,408K
= 3.47
Badger Meter Inc's inventory turnover ratio has shown a decreasing trend over the past few years, indicating that the company is taking longer to sell its inventory. The ratio decreased from 3.52 on March 31, 2020, to 2.90 on June 30, 2022. However, there was a slight increase in the ratio in the most recent periods, reaching 3.47 on December 31, 2024.
A lower inventory turnover ratio may suggest issues with inventory management, such as overstocking or slow-moving inventory. It could also indicate inefficiencies in sales and operations, leading to a buildup of inventory levels.
It is essential for Badger Meter Inc to closely monitor its inventory turnover ratio and implement strategies to improve inventory management, streamline operations, and enhance sales to ensure optimal utilization of its inventory and maximize profitability.
Peer comparison
Dec 31, 2024
Dec 31, 2024