Solventum Corp. (SOLV)
Inventory turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 3,661,000 | 3,504,000 | 3,435,000 | 3,248,000 | 2,966,000 |
| Inventory | US$ in thousands | 965,000 | 857,000 | 873,000 | 813,000 | — |
| Inventory turnover | 3.79 | 4.09 | 3.93 | 4.00 | — |
December 31, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $3,661,000K ÷ $965,000K
= 3.79
The inventory turnover of Solventum Corp. has shown some variability over the past five years. In 2021, the inventory turnover was 4.00 times, indicating that the company sold and replaced its inventory four times during that year. Subsequently, in 2022 and 2024, the inventory turnover slightly decreased to 3.93 and 3.79, respectively, suggesting a decrease in the efficiency of inventory management during those years.
However, in 2023, the inventory turnover increased to 4.09, signaling an improvement in inventory management efficiency compared to the previous year. Overall, Solventum Corp. maintained a moderate level of inventory turnover during the period analyzed, indicating a decent balance between holding too much or too little inventory to support its operations and sales.
Peer comparison
Dec 31, 2024