Quest Diagnostics Incorporated (DGX)
Inventory turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 6,628,000 | 6,199,000 | 6,450,000 | 6,579,000 | 5,804,000 |
| Inventory | US$ in thousands | 188,000 | 190,000 | 192,000 | 208,000 | 223,000 |
| Inventory turnover | 35.26 | 32.63 | 33.59 | 31.63 | 26.03 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $6,628,000K ÷ $188,000K
= 35.26
Quest Diagnostics Incorporated's inventory turnover has demonstrated a steady improvement over the past five years, increasing from 26.03 in December 31, 2020, to 35.26 in December 31, 2024. This indicates that the company has been more effective in managing its inventory levels and converting them into sales within a given period. The upward trend in inventory turnover suggests better inventory management practices, potentially leading to improved profitability and efficiency in the company's operations. Continuously monitoring and optimizing inventory turnover is essential for Quest Diagnostics to maintain its competitive edge and financial health.
Peer comparison
Dec 31, 2024