Glaukos Corp (GKOS)

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	314,520	293,095	284,348	278,841	268,132	263,414	259,244	254,570	252,112	251,063	248,102	244,827	264,189	276,322	272,182	258,517	216,409	180,116	165,920	155,499
Inventory	US$ in thousands	41,986	39,781	39,447	40,455	37,841	34,182	27,842	24,708	23,011	19,720	17,500	15,271	15,809	19,890	21,088	27,699	42,578	12,801	14,038	13,432
Inventory turnover		7.49	7.37	7.21	6.89	7.09	7.71	9.31	10.30	10.96	12.73	14.18	16.03	16.71	13.89	12.91	9.33	5.08	14.07	11.82	11.58

December 31, 2023 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $314,520K ÷ $41,986K
= 7.49

Glaukos Corporation's inventory turnover has seen fluctuations over the past eight quarters. The inventory turnover ratio indicates how many times the company has sold and replaced its inventory within a specific period. A higher inventory turnover ratio generally indicates that the company is efficiently managing its inventory.

In the most recent quarter, Q4 2023, Glaukos Corporation's inventory turnover stood at 1.80, a slight decrease from the previous quarter's ratio of 1.86 in Q3 2023. This suggests that the company took longer to sell and replace its inventory in Q4 compared to the previous quarter.

Looking at the trend over the past two years, the inventory turnover ratio has been gradually declining from a high of 2.71 in Q1 2022 to the current level of 1.80 in Q4 2023. This downward trend indicates a potential inefficiency in managing inventory levels or a slower rate of inventory turnover for Glaukos Corporation.

It is essential for the company to closely monitor and manage its inventory turnover ratio to ensure optimal inventory levels and avoid excess inventory holding costs or stockouts. Further analysis of the company's supply chain management and demand forecasting processes may be warranted to address any underlying issues affecting inventory turnover.