Hologic Inc (HOLX)
Inventory turnover
| Sep 30, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 1,802,500 | 1,983,000 | 1,948,200 | 1,958,900 | 1,952,400 | 1,788,400 | 1,836,800 | 1,865,300 | 1,915,300 | 1,929,100 | 1,891,800 | 1,836,400 | 1,763,100 | 1,653,200 | 1,561,700 | 1,549,000 | 1,750,100 | 1,800,900 | 2,216,600 | 2,196,500 |
| Inventory | US$ in thousands | 679,800 | 649,200 | 633,600 | 617,600 | 680,100 | 687,600 | 677,700 | 623,700 | 581,200 | 526,100 | 518,300 | 501,200 | 502,900 | 456,200 | 420,200 | 395,100 | 413,600 | 401,300 | 380,800 | 444,900 |
| Inventory turnover | 2.65 | 3.05 | 3.07 | 3.17 | 2.87 | 2.60 | 2.71 | 2.99 | 3.30 | 3.67 | 3.65 | 3.66 | 3.51 | 3.62 | 3.72 | 3.92 | 4.23 | 4.49 | 5.82 | 4.94 |
September 30, 2024 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $1,802,500K ÷ $679,800K
= 2.65
Hologic Inc's inventory turnover has fluctuated over the past few years, ranging from a low of 2.60 in March 2023 to a high of 5.82 in March 2020. The overall trend shows a general increase in inventory turnover from 2019 to 2022, indicating that the company has been managing its inventory more efficiently during this period. However, there was a slight decrease in inventory turnover in 2023 and 2024 compared to the peak in 2022.
A higher inventory turnover ratio generally indicates that a company is selling its inventory more quickly, which can be a positive sign of operational efficiency. On the other hand, a lower inventory turnover ratio may suggest overstocking or slow-moving inventory, which could tie up cash and lead to potential obsolescence risks.
Overall, Hologic Inc's inventory turnover ratio reflects variations in its inventory management practices over the years, and it would be important for the company to continue monitoring and optimizing its inventory levels to support its operational efficiency and financial performance.
Peer comparison
Sep 30, 2024
Sep 30, 2024