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Lonza Group (Lonza Group) Inventory-to-Revenue : 0.47 (As of Dec. 2023)


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What is Lonza Group Inventory-to-Revenue?

Inventory-to-Revenue determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue. Lonza Group's Average Total Inventories for the quarter that ended in Dec. 2023 was $1,989 Mil. Lonza Group's Revenue for the six months ended in Dec. 2023 was $4,208 Mil. Lonza Group's Inventory-to-Revenue for the quarter that ended in Dec. 2023 was 0.47.

Lonza Group's Inventory-to-Revenue for the quarter that ended in Dec. 2023 declined from Jun. 2023 (0.60) to Jun. 2023 (0.47)

A decrease in the Inventory-to-Revenue from one quarter to next indicates that one of these is occurring:

1. investment in inventory is shrinking in relation to revenue
2. revenue are increasing
No matter which situation is causing the reduction in the Inventory-to-Revenue, either one suggests that business's inventory levels and its cash flow are effectively managed.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Lonza Group's Days Inventory for the six months ended in Dec. 2023 was 112.17.

Inventory Turnover measures how fast the company turns over its inventory within a year. Lonza Group's Inventory Turnover for the quarter that ended in Dec. 2023 was 1.63.


Lonza Group Inventory-to-Revenue Historical Data

The historical data trend for Lonza Group's Inventory-to-Revenue can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Lonza Group Inventory-to-Revenue Chart

Lonza Group Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Inventory-to-Revenue
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.31 0.27 0.25 0.27 0.24

Lonza Group Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
Inventory-to-Revenue Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.52 0.53 0.56 0.60 0.47

Competitive Comparison of Lonza Group's Inventory-to-Revenue

For the Diagnostics & Research subindustry, Lonza Group's Inventory-to-Revenue, along with its competitors' market caps and Inventory-to-Revenue data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Lonza Group's Inventory-to-Revenue Distribution in the Medical Diagnostics & Research Industry

For the Medical Diagnostics & Research industry and Healthcare sector, Lonza Group's Inventory-to-Revenue distribution charts can be found below:

* The bar in red indicates where Lonza Group's Inventory-to-Revenue falls into.



Lonza Group Inventory-to-Revenue Calculation

Inventory-to-Revenue determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue.

Lonza Group's Inventory-to-Revenue for the fiscal year that ended in Dec. 2023 is calculated as

Inventory-to-Revenue (A: Dec. 2023 )
=Average Total Inventories / Revenue
=( (Total Inventories (A: Dec. 2022 ) + Total Inventories (A: Dec. 2023 )) / count ) / Revenue (A: Dec. 2023 )
=( (1952.555 + 1832.794) / 2 ) / 7767.114
=1892.6745 / 7767.114
=0.24

Lonza Group's Inventory-to-Revenue for the quarter that ended in Dec. 2023 is calculated as

Inventory-to-Revenue (Q: Dec. 2023 )
=Average Total Inventories / Revenue
=( (Total Inventories (Q: Jun. 2023 ) + Total Inventories (Q: Dec. 2023 )) / count ) / Revenue (Q: Dec. 2023 )
=( (2145.713 + 1832.794) / 2 ) / 4207.909
=1989.2535 / 4207.909
=0.47

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Lonza Group  (OTCPK:LZAGY) Inventory-to-Revenue Explanation

An increase in Inventory-to-Revenue from one quarter to the next indicates that one of the following is happening:

1. investment in inventory is growing more rapidly than revenue
2. revenue are dropping
No matter which situation is causing the problem, an increase in the Inventory-to-Revenue may signal an oncoming cash flow problem.

Likewise, a decrease in the Inventory-to-Revenue from one quarter to next indicates that one of these is occurring:

1. investment in inventory is shrinking in relation to revenue
2. revenue are increasing
No matter which situation is causing the reduction in the Inventory-to-Revenue, either one suggests that business's inventory levels and its cash flow are effectively managed.

More Related Terms:

1. Days Inventory indicates the number of days of goods in sales that a company has in the inventory.

Lonza Group's Days Inventory for the six months ended in Dec. 2023 is calculated as:

Days Inventory=Average Total Inventories (Q: Dec. 2023 )/Cost of Goods Sold (Q: Dec. 2023 )*Days in Period
=1989.2535/3236.586*365 / 2
=112.17

2. Inventory Turnover measures how fast the company turns over its inventory within a year.

Lonza Group's Inventory Turnover for the quarter that ended in Dec. 2023 is calculated as

Inventory Turnover=Cost of Goods Sold (Q: Dec. 2023 ) / Average Total Inventories (Q: Dec. 2023 )
=3236.586 / 1989.2535
=1.63

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Lonza Group Inventory-to-Revenue Related Terms

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Lonza Group (Lonza Group) Business Description

Address
Muenchensteinerstrasse 38, Basel, CHE, CH-4002
Lonza Group is a contract development and manufacturing organization, or CDMO. It operates under four segments: small molecules, biologics, cell & gene, and capsules & health ingredients. Lonza derives its revenue primarily from long-term supply agreements with pharmaceutical customers. The company provides a range of development and manufacturing services throughout the entire lifecycle of a product from drug research to commercial supply. The majority of Lonza's customers are pharmaceutical and biotechnology companies, academic institutions, and government research organizations.