CONMED Corporation (CNMD)

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	592,554	587,670	586,483	575,851	566,344	542,633	529,587	508,038	474,227	473,337	456,385	444,709	442,601	441,800	439,416	411,535	402,158	407,734	407,076	428,293
Inventory	US$ in thousands	346,719	342,550	322,357	322,298	318,324	325,824	327,309	335,370	332,320	304,813	289,714	253,729	231,644	228,572	211,323	205,797	194,868	182,668	175,715	174,538
Inventory turnover		1.71	1.72	1.82	1.79	1.78	1.67	1.62	1.51	1.43	1.55	1.58	1.75	1.91	1.93	2.08	2.00	2.06	2.23	2.32	2.45

December 31, 2024 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $592,554K ÷ $346,719K
= 1.71

CONMED Corporation's inventory turnover has shown a declining trend from March 31, 2020, to December 31, 2024. The inventory turnover ratio measures how efficiently a company manages its inventory by indicating how many times in a year the company sells its average inventory level.

The inventory turnover ratio decreased from 2.45 on March 31, 2020, to 1.71 on December 31, 2024. This declining trend indicates that CONMED Corporation took longer to sell its inventory over the observed period.

A lower inventory turnover ratio can suggest potential issues such as overstocking, obsolete inventory, or difficulties in effectively managing and selling inventory. It may also indicate slower sales or production than in previous periods. CONMED Corporation may need to assess and improve its inventory management processes to optimize working capital and reduce carrying costs associated with excess inventory.