Option Care Health Inc (OPCH)

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	3,962,726	3,881,859	3,829,631	3,763,731	3,676,839	3,583,230	3,461,400	3,351,554	3,217,741	3,111,319	3,019,073	2,922,758	2,885,745	2,830,743	2,710,569	2,129,187	1,564,988	988,684	484,653	473,621
Inventory	US$ in thousands	274,004	251,366	262,924	249,643	224,281	236,020	231,766	217,184	183,095	189,830	173,853	173,622	158,601	155,478	149,115	139,128	115,876	109,235	27,801	27,470
Inventory turnover		14.46	15.44	14.57	15.08	16.39	15.18	14.93	15.43	17.57	16.39	17.37	16.83	18.19	18.21	18.18	15.30	13.51	9.05	17.43	17.24

December 31, 2023 calculation

Inventory turnover = Cost of revenue (ttm) ÷ Inventory
= $3,962,726K ÷ $274,004K
= 14.46

Option Care Health Inc.'s inventory turnover has been relatively stable over the past eight quarters, ranging between 12.12 and 13.72. The company's inventory turnover ratio indicates that, on average, its inventory is being sold and replaced approximately 12 to 13 times a year. This suggests that Option Care Health Inc. is efficiently managing its inventory levels and that there is a healthy demand for its products or services. The consistency in the inventory turnover ratio over time indicates that the company has a good grasp of its inventory management practices and is effectively balancing inventory levels to meet customer demand without excessive holding costs.