Haemonetics Corporation (HAE)

Inventory turnover

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Cost of revenue (ttm)	US$ in thousands	1,140,747	1,090,469	1,052,482	1,022,423	995,675	974,344	938,969	901,797	913,230	907,672	887,138	857,275	811,111	811,195	848,731	891,313	963,513	965,320	948,502	941,885
Inventory	US$ in thousands	317,202	304,024	285,830	289,207	259,379	255,756	254,680	277,887	293,027	305,741	322,661	326,500	322,614	299,710	305,224	294,510	270,276	254,167	244,504	221,953
Inventory turnover		3.60	3.59	3.68	3.54	3.84	3.81	3.69	3.25	3.12	2.97	2.75	2.63	2.51	2.71	2.78	3.03	3.56	3.80	3.88	4.24

March 31, 2024 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $1,140,747K ÷ $317,202K
= 3.60

Haemonetics Corporation's inventory turnover ratio has shown variability over the periods analyzed. The inventory turnover ratio measures how efficiently a company manages its inventory by indicating the number of times a company sells and replaces its inventory during a certain period.

Based on the data provided:
- The inventory turnover ratio ranged between 2.51 and 4.24 over the last 20 quarters.
- The highest inventory turnover ratio was observed in the quarter ending December 2019 at 4.24, indicating efficient management of inventory during that period.
- The lowest inventory turnover ratio was recorded in the quarter ending March 2021 at 2.51, suggesting a slower rate of inventory turnover during that period.
- Overall, the inventory turnover ratio has shown a decreasing trend from 4.24 in December 2019 to 3.60 in March 2024.

A higher inventory turnover ratio generally indicates that a company is selling goods quickly and efficiently managing its inventory levels. On the other hand, a lower ratio may suggest overstocking or slow sales, leading to potential liquidity issues or higher storage costs.

In conclusion, Haemonetics Corporation's inventory turnover ratios have fluctuated over the periods analyzed, with the company showing varying levels of efficiency in managing its inventory during different quarters.