Kulicke and Soffa Industries Inc (KLIC)

Inventory turnover

		Sep 30, 2024	Jun 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
Cost of revenue (ttm)	US$ in thousands	437,478	450,297	454,276	387,602	383,836	430,981	511,534	605,177	755,300	855,685	902,856	911,957	820,678	655,470	507,874	397,639	325,201	310,787	298,089	276,986
Inventory	US$ in thousands	177,736	175,551	180,541	236,558	217,304	227,991	224,159	211,637	184,986	215,281	211,877	197,234	167,323	153,325	139,999	125,082	111,809	114,194	106,178	95,209
Inventory turnover		2.46	2.57	2.52	1.64	1.77	1.89	2.28	2.86	4.08	3.97	4.26	4.62	4.90	4.28	3.63	3.18	2.91	2.72	2.81	2.91

September 30, 2024 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $437,478K ÷ $177,736K
= 2.46

The inventory turnover ratio for Kulicke and Soffa Industries Inc has fluctuated over the past few years, ranging from a low of 1.64 to a high of 4.90. In general, a higher inventory turnover ratio indicates that the company is selling its inventory more efficiently.

Looking at the trend, we observe that the inventory turnover ratio has been generally increasing from 2019 to 2022, peaking at 4.90 in December 2021. This suggests that the company was managing its inventory well during this period. However, from 2022 to 2024, the inventory turnover ratio has shown some fluctuation, with a slight decrease over the most recent quarters.

Overall, the recent ratios indicate that the company is still efficiently managing its inventory compared to the historical average. However, the slight decrease in the most recent quarters may warrant further investigation to understand if there are any underlying factors impacting the efficiency of their inventory management.