LeMaitre Vascular Inc (LMAT)
Inventory turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 68,962 | 66,435 | 56,755 | 53,042 | 44,748 |
| Inventory | US$ in thousands | 64,927 | 52,333 | 50,271 | 46,104 | 45,115 |
| Inventory turnover | 1.06 | 1.27 | 1.13 | 1.15 | 0.99 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $68,962K ÷ $64,927K
= 1.06
LeMaitre Vascular Inc's inventory turnover has shown a fluctuating trend over the years. In 2020, the inventory turnover ratio was 0.99, indicating that the company's inventory was not being sold and replaced as frequently during that period. However, there has been an improvement in the following years with ratios of 1.15 in 2021, 1.13 in 2022, 1.27 in 2023, and a slight decrease to 1.06 in 2024.
The increasing trend from 2020 to 2023 suggests that LeMaitre Vascular Inc has been managing its inventory more efficiently, with inventory being sold and replenished at a faster pace. However, the decrease in 2024 may warrant further investigation into the company's inventory management practices.
Overall, a higher inventory turnover ratio indicates that a company is selling its products more quickly, which can lead to lower carrying costs and potential higher profitability. LeMaitre Vascular Inc's inventory turnover ratios, especially in recent years, show positive signs of effective inventory management.
Peer comparison
Dec 31, 2024