LeMaitre Vascular Inc (LMAT)

Inventory turnover

		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	Mar 31, 2019
Cost of revenue (ttm)	US$ in thousands	152,513	145,168	140,576	137,667	131,304	128,500	125,543	119,450	115,893	110,496	108,953	99,213	96,591	97,692	92,755	95,889	94,210	87,735	84,116	82,029
Inventory	US$ in thousands	60,080	57,987	55,631	55,479	51,771	49,411	48,992	48,664	48,204	46,326	46,551	46,971	47,215	47,739	48,240	42,480	41,427	38,495	34,144	31,208
Inventory turnover		2.54	2.50	2.53	2.48	2.54	2.60	2.56	2.45	2.40	2.39	2.34	2.11	2.05	2.05	1.92	2.26	2.27	2.28	2.46	2.63

December 31, 2023 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $152,513K ÷ $60,080K
= 2.54

The inventory turnover for Lemaitre Vascular Inc over the past eight quarters has shown some fluctuation. The ratio has ranged from a low of 1.14 in Q4 2023 to a high of 1.32 in Q2 2022 and Q3 2022. Overall, the trend in inventory turnover has been relatively stable around the range of 1.14 to 1.32.

A high inventory turnover ratio indicates that the company is selling its inventory quickly, which is generally positive as it reduces the risk of obsolete inventory and minimizes storage costs. On the other hand, a low inventory turnover ratio may suggest inefficiencies in inventory management, such as overstocking or slow-moving inventory.

In this case, Lemaitre Vascular Inc's inventory turnover ratios have been fairly consistent, indicating that the company is effectively managing its inventory levels and successfully selling its products. It is important for the company to continue monitoring and optimizing its inventory turnover to ensure efficient operations and profitability.