MKS Instruments Inc (MKSI)
Inventory turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 2,915,000 | 4,990,000 | 2,765,000 | 2,096,900 | 1,741,600 |
| Inventory | US$ in thousands | 893,000 | 991,000 | 977,000 | 577,000 | 501,400 |
| Inventory turnover | 3.26 | 5.04 | 2.83 | 3.63 | 3.47 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $2,915,000K ÷ $893,000K
= 3.26
The inventory turnover ratio for MKS Instruments Inc has shown some fluctuations over the past five years.
Starting at 3.47 in December 2020, the ratio increased to 3.63 by December 2021, indicating that the company was able to sell and replace its inventory slightly more efficiently. However, in December 2022, the ratio decreased to 2.83, suggesting a slower rate of inventory turnover compared to the previous year.
A significant improvement was seen in December 2023, with the inventory turnover ratio rising to 5.04. This sharp increase indicates that MKS Instruments Inc was able to sell and replace its inventory at a much faster pace, potentially indicating effective inventory management.
In December 2024, the ratio fell back to 3.26, showing a slight decrease in inventory turnover efficiency compared to the previous year. Overall, the trend in the inventory turnover ratio for MKS Instruments Inc has been somewhat volatile, with periods of both improvement and decline in inventory management efficiency over the five-year period.
Peer comparison
Dec 31, 2024