Haemonetics Corporation (HAE)

Inventory turnover

		Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Mar 31, 2021	Mar 31, 2020
Cost of revenue	US$ in thousands	1,175,410	1,024,480	937,580	854,513	976,208
Inventory	US$ in thousands	317,202	259,379	293,027	322,614	270,276
Inventory turnover		3.71	3.95	3.20	2.65	3.61

March 31, 2024 calculation

Inventory turnover = Cost of revenue ÷ Inventory
= $1,175,410K ÷ $317,202K
= 3.71

Haemonetics Corporation's inventory turnover ratio has shown fluctuations over the past five years. The ratio ranged from 2.65 to 3.95 during this period, with the highest value recorded in March 2023 and the lowest in March 2021. Overall, the trend indicates some volatility in managing inventory levels efficiently. A higher inventory turnover ratio is generally preferable as it signifies that the company is selling its inventory more quickly, thereby reducing the risk of inventory obsolescence or carrying costs. However, a consistent downward trend in the ratio may suggest potential issues with inventory management, such as overstocking or slowing sales. Further analysis and comparison with industry benchmarks could provide deeper insights into the effectiveness of Haemonetics Corporation's inventory management strategy.