MSA Safety (MSA)

Inventory turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cost of revenue	US$ in thousands	935,509	854,122	784,834	752,731	763,352
Inventory	US$ in thousands	292,604	338,316	280,617	244,966	185,027
Inventory turnover		3.20	2.52	2.80	3.07	4.13

December 31, 2023 calculation

Inventory turnover = Cost of revenue ÷ Inventory
= $935,509K ÷ $292,604K
= 3.20

The inventory turnover ratio for MSA Safety Inc has shown fluctuations over the past five years. In 2023, the inventory turnover ratio improved to 3.20 from 2.52 in 2022, indicating that the company sold its inventory 3.20 times during the year, which is a positive sign of efficiency in managing inventory levels. However, it is still lower compared to the levels in 2020 and 2019, where the ratios were 3.83 and 4.14 respectively, suggesting that the company might be carrying more inventory relative to its sales in recent years. Overall, the trend in inventory turnover for MSA Safety Inc reflects some variability, and further analysis is needed to understand the factors driving these fluctuations.