CONMED Corporation (CNMD)
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 | 568,498 | 542,633 | 529,587 | 508,038 | 474,227 | 473,336 | 456,384 | 444,708 | 442,600 | 441,800 | 439,416 | 411,535 | 402,158 | 407,734 | 407,076 | 428,293 | 430,382 | 417,281 | 405,482 | 394,958 |
| Inventory | US$ in thousands | 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 | 164,616 | 173,920 | 172,802 | 171,087 |
| Inventory turnover | 1.79 | 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 | 2.61 | 2.40 | 2.35 | 2.31 |
December 31, 2023 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $568,498K ÷ $318,324K
= 1.79
Conmed Corp.'s inventory turnover has shown fluctuations over the past eight quarters, ranging from 1.43 to 1.79. A higher inventory turnover ratio indicates that Conmed Corp. is efficiently managing its inventory by selling its products more quickly. In general, a higher inventory turnover ratio is considered favorable as it suggests that the company's products are in high demand and are not sitting idle in warehouses.
The trend in Conmed Corp.'s inventory turnover appears to have increased from Q4 2022 to Q4 2023, which may indicate improvements in inventory management efficiency or increasing sales. However, it is important to note that a very high inventory turnover ratio may also indicate stockouts or difficulty in meeting customer demand.
Furthermore, comparing Conmed Corp.'s inventory turnover to industry benchmarks or competitors can provide additional insights into the company's inventory management performance and competitiveness within the market. A thorough analysis of inventory turnover in conjunction with other financial ratios and operational metrics can provide a more comprehensive evaluation of Conmed Corp.'s overall financial health and operational effectiveness.
Peer comparison
Dec 31, 2023
Dec 31, 2023