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Health Management Associates, Inc. (NYSE:HMA)
Days Inventory
23.52 (As of Sep. 2013)

Health Management Associates, Inc.'s inventory for the three months ended in Sep. 2013 was \$227 Mil. Health Management Associates, Inc.'s cost of goods sold for the three months ended in Sep. 2013 was \$876 Mil. Hence, Health Management Associates, Inc.'s days inventory for the three months ended in Sep. 2013 was 23.52.

Health Management Associates, Inc.'s days inventory increased from Sep. 2012 (0.00) to Sep. 2013 (23.52). It might indicate that Health Management Associates, Inc.'s sales slowed down.

Inventory can be measured by Days Sales of Inventory (DSI). Health Management Associates, Inc.'s days sales of inventory (DSI) for the three months ended in Sep. 2013 was 14.51.

Inventory turnover measures how fast the company turns over its inventory within a year. Health Management Associates, Inc.'s inventory turnover for the three months ended in Sep. 2013 was 3.87.

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. Health Management Associates, Inc.'s inventory to revenue ratio for the three months ended in Sep. 2013 was 0.16.

Definition

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

Health Management Associates, Inc.'s Days Inventory for the fiscal year that ended in Dec. 2012 is calculated as

 Days Inventory = Inventory / Cost of Goods Sold * Days in Period = 159.599 / 3523.864 * 365 = 16.53

Health Management Associates, Inc.'s Days Inventory for the quarter that ended in Sep. 2013 is calculated as:

 Days Inventory = Inventory / Cost of Goods Sold * Days in Period = 226.552 / 876.361 * 91 = 23.52

* 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).

Health Management Associates, Inc.'s Days Sales of Inventory for the three months ended in Sep. 2013 is calculated as

 Days Sales of Inventory (DSI) = Inventory / Revenue * Days in Period = 226.552 / 1421.243 * 91 = 14.51

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

Health Management Associates, Inc.'s Inventory Turnover for the three months ended in Sep. 2013 is calculated as

 Inventory Turnover = Cost of Goods Sold / Average Inventory = 876.361 / 226.552 = 3.87

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.

Health Management Associates, Inc.'s Inventory to Revenue for the three months ended in Sep. 2013 is calculated as

 Inventory to Revenue = Inventory / Revenue = 226.552 / 1421.243 = 0.16

* 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.

Health Management Associates, Inc. Annual Data

 Sep03 Sep04 Sep05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 DaysInventory 0.00 13.16 13.55 71.58 73.40 17.39 17.35 18.41 18.55 16.53

Health Management Associates, Inc. Quarterly Data

 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 DaysInventory 0.00 0.00 16.67 0.00 0.00 0.00 16.05 21.88 22.95 23.52
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