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Esterline Technologies (NYSE:ESL)
Days Inventory
128.21 (As of Apr. 2014)

Esterline Technologies's inventory for the three months ended in Apr. 2014 was \$489 Mil. Esterline Technologies's cost of goods sold for the three months ended in Apr. 2014 was \$347 Mil. Hence, Esterline Technologies's days inventory for the three months ended in Apr. 2014 was 128.21.

Esterline Technologies's days inventory increased from Apr. 2013 (122.97) to Apr. 2014 (128.21). It might indicate that Esterline Technologies's sales slowed down.

Inventory can be measured by Days Sales of Inventory (DSI). Esterline Technologies's days sales of inventory (DSI) for the three months ended in Apr. 2014 was 84.07.

Inventory turnover measures how fast the company turns over its inventory within a year. Esterline Technologies's inventory turnover for the three months ended in Apr. 2014 was 0.71.

Inventory to revenue ratio 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. Esterline Technologies's inventory to revenue ratio for the three months ended in Apr. 2014 was 0.92.

Definition

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

Esterline Technologies's Days Inventory for the fiscal year that ended in Oct. 2013 is calculated as

 Days Inventory = Inventory / Cost of Goods Sold * Days in Period = 447.663 / 1243.758 * 365 = 131.37

Esterline Technologies's Days Inventory for the quarter that ended in Apr. 2014 is calculated as:

 Days Inventory = Inventory / Cost of Goods Sold * Days in Period = 489.23 / 347.229 * 91 = 128.21

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Explanation

An increase of Days Inventory may indicate the company's sales slowed.

1. Inventory can be measured by Days Sales of Inventory (DSI).

Esterline Technologies's Days Sales of Inventory for the three months ended in Apr. 2014 is calculated as

 Days Sales of Inventory (DSI) = Inventory / Revenue * Days in Period = 489.23 / 529.574 * 91 = 84.07

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

Esterline Technologies's Inventory Turnover for the three months ended in Apr. 2014 is calculated as

 Inventory Turnover = Cost of Goods Sold / Average Inventory = 347.229 / 489.23 = 0.71

3. 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.

Esterline Technologies's Inventory to Revenue for the three months ended in Apr. 2014 is calculated as

 Inventory to Revenue = Inventory / Revenue = 489.23 / 529.574 = 0.92

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Be Aware

A lot of business are seasonable. It makes more sense to compare Days Inventory from the same period in the previous year instead of from the previous quarter.

Related Terms

Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Esterline Technologies Annual Data

 Oct04 Oct05 Oct06 Oct07 Oct08 Oct09 Oct10 Oct11 Oct12 Oct13 DaysInventory 103.81 83.04 107.09 112.99 96.31 105.31 94.78 130.23 117.48 131.37

Esterline Technologies Quarterly Data

 Jan12 Apr12 Jul12 Oct12 Jan13 Apr13 Jul13 Oct13 Jan14 Apr14 DaysInventory 114.93 117.58 119.03 114.26 128.92 122.97 135.60 123.90 130.23 128.21
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