Veeco Instruments Inc (VECO)
Inventory turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 482,613 | 481,959 | 437,819 | 352,825 | 368,412 |
| Inventory | US$ in thousands | 237,635 | 206,908 | 170,858 | 145,906 | 133,067 |
| Inventory turnover | 2.03 | 2.33 | 2.56 | 2.42 | 2.77 |
December 31, 2023 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $482,613K ÷ $237,635K
= 2.03
The inventory turnover ratio for Veeco Instruments Inc has shown a declining trend over the past five years. In 2021, the ratio was at its peak at 2.00, indicating that the company's inventory was turning over twice during the year. However, in the subsequent years, the inventory turnover decreased to 1.85 in 2022 and further to 1.60 in 2023. This suggests that the company is taking longer to sell its inventory compared to previous years, potentially leading to excess or obsolete inventory on hand. It is important for Veeco Instruments Inc to closely monitor and manage its inventory levels to optimize efficiency and profitability in its operations.
Peer comparison
Dec 31, 2023