Novanta Inc (NOVT)
Inventory turnover
| Dec 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 753,999 | 734,081 | 712,244 | 701,100 | 688,486 | 690,954 | 697,284 | 694,400 | 682,856 | 679,677 | 648,402 | 612,748 | 586,095 | 536,752 | 512,116 | 493,889 | 487,572 | 504,420 | 515,225 | 523,784 |
| Inventory | US$ in thousands | 144,606 | 154,021 | 160,042 | 161,371 | 149,371 | 153,809 | 162,904 | 166,671 | 167,997 | 162,807 | 153,887 | 139,166 | 125,657 | 119,422 | 94,974 | 89,944 | 92,737 | 101,737 | 107,380 | 112,003 |
| Inventory turnover | 5.21 | 4.77 | 4.45 | 4.34 | 4.61 | 4.49 | 4.28 | 4.17 | 4.06 | 4.17 | 4.21 | 4.40 | 4.66 | 4.49 | 5.39 | 5.49 | 5.26 | 4.96 | 4.80 | 4.68 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $753,999K ÷ $144,606K
= 5.21
Novanta Inc's inventory turnover has shown some fluctuations over the years. The inventory turnover ratio, which measures the number of times a company's inventory is sold and replaced during a specific period, has ranged from 4.06 to 5.49 from December 31, 2022, to March 31, 2021, respectively.
From March 31, 2022, to December 31, 2024, the inventory turnover ratio remained within the range of 4.06 to 5.21, indicating that the company has been managing its inventory effectively during this period. The highest turnover ratio of 5.49 was observed on March 31, 2021, suggesting that Novanta Inc efficiently converted its inventory into sales during that particular quarter.
However, there was a slight decline in inventory turnover from June 30, 2021, to September 30, 2021, where the ratio decreased from 5.39 to 4.49. This reduction could be due to various factors such as changing demand patterns, seasonality, or inventory management practices.
Overall, the inventory turnover ratios reflect Novanta Inc's ability to efficiently manage its inventory levels and convert them into sales over the analyzed period, with some fluctuations observed in certain quarters.
Peer comparison
Dec 31, 2024
Dec 31, 2024