Bristol-Myers Squibb Company (BMY)

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	28,140,000	28,361,000	28,400,000	28,232,000	28,441,000	29,647,000	29,522,000	29,550,000	30,186,000	24,483,000	20,138,000	15,758,000	11,773,000	11,355,000	10,643,000	9,916,000	8,078,000	7,256,000	7,094,000	6,727,000
Inventory	US$ in thousands	2,662,000	2,436,000	2,364,000	2,605,000	2,339,000	2,074,000	2,142,000	2,104,000	2,095,000	2,163,000	2,137,000	1,953,000	2,074,000	1,949,000	2,384,000	2,836,000	4,293,000	1,192,000	1,308,000	1,283,000
Inventory turnover		10.57	11.64	12.01	10.84	12.16	14.29	13.78	14.04	14.41	11.32	9.42	8.07	5.68	5.83	4.46	3.50	1.88	6.09	5.42	5.24

December 31, 2023 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $28,140,000K ÷ $2,662,000K
= 10.57

Bristol-Myers Squibb Co.'s inventory turnover has shown fluctuations over the past eight quarters. The ratio peaked at 4.77 in Q3 2022 and reached its lowest point at 3.93 in Q1 2023.

Overall, the inventory turnover ratio has been relatively stable in the range of 4.02 to 4.77 during this period. This indicates that, on average, the company is able to sell and replace its inventory approximately 4 times a year.

A generally consistent inventory turnover ratio suggests efficient inventory management, ensuring that Bristol-Myers Squibb Co. is not holding excess inventory that could lead to obsolescence or carrying costs. However, a downward trend in the ratio may raise concerns about the company's ability to efficiently manage its inventory.

Further analysis and comparison with industry peers may provide additional insights into Bristol-Myers Squibb Co.'s inventory management practices and operational efficiency.