Name: Inventory Turnover

Definition: Inventory turnover measures how quickly the company sells and replaces its inventory. A higher turnover means products are selling fast and inventory isn’t sitting idle. Slow turnover may suggest weak sales, poor demand forecasting, or obsolete inventory piling up — all of which can tie up cash unnecessarily.

Interpretation:
• In '2021', STRRP's inventory turnover was 10.71, reflecting efficiency in managing inventory stock. Industry average for Biotechnology: Electromedical & Electrotherapeutic Apparatus in '2021' stood at 2.24.
• In '2022', STRRP's inventory turnover was 6.78, reflecting efficiency in managing inventory stock. The decline from '2021' may indicate some operational or financial challenges. Industry average for Biotechnology: Electromedical & Electrotherapeutic Apparatus in '2022' stood at 2.94. Industry average increased by 0.69 compared to previous year.
• In '2023', STRRP's inventory turnover was 8.36, reflecting efficiency in managing inventory stock. The increase since '2022' reflects strengthening financial performance. Industry average for Biotechnology: Electromedical & Electrotherapeutic Apparatus in '2023' stood at 2.52. Industry average declined by 0.42 from previous year.
• In '2024', STRRP's inventory turnover was 9.60, reflecting efficiency in managing inventory stock. The increase since '2023' reflects strengthening financial performance. Industry average for Biotechnology: Electromedical & Electrotherapeutic Apparatus in '2024' stood at 2.55. Industry average increased by 0.03 compared to previous year.
Overall, STRRP's inventory turnover has been volatile but showed a downward trend over the past 4 years.

Formula: Inventory Turnover = Cost of Goods Sold / Average Inventory

Good Range: Typically 4 to 12 depending on industry.