Regeneron Pharmaceuticals Inc (REGN)

Inventory turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Cost of revenue	US$ in thousands	3,224,100	2,840,300	2,389,100	2,296,400	1,399,600
Inventory	US$ in thousands	3,087,300	2,580,500	2,401,900	1,951,300	1,916,600
Inventory turnover		1.04	1.10	0.99	1.18	0.73

December 31, 2024 calculation

Inventory turnover = Cost of revenue ÷ Inventory
= $3,224,100K ÷ $3,087,300K
= 1.04

Based on the provided data, Regeneron Pharmaceuticals Inc's inventory turnover has shown fluctuation over the years.

As of December 31, 2020, the inventory turnover ratio was 0.73, indicating that the company's inventory turnover was relatively low, which may suggest inefficiencies in managing inventory levels or slower sales.

Over the subsequent years, there was an improvement in inventory turnover. By December 31, 2021, the ratio increased to 1.18, signifying that the company managed to turn over its inventory more quickly compared to the previous year. This improvement suggests better inventory management or increased sales efficiency.

In 2022, the inventory turnover ratio slightly decreased to 0.99, but it remained above the initial 2020 level, suggesting a continued focus on inventory management practices.

By December 31, 2023, the inventory turnover ratio further increased to 1.10, indicating that the company was turning over its inventory at a faster rate compared to the previous year.

However, by December 31, 2024, the ratio fell slightly to 1.04, which may indicate a small decrease in inventory turnover efficiency compared to the previous year, but it remained at a relatively healthy level overall.

Overall, while there were fluctuations in Regeneron Pharmaceuticals Inc's inventory turnover ratio over the years, the general trend showed improvements, suggesting that the company may have been implementing better inventory management strategies to optimize its operations.