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National Grid PLC (NYSE:NGG)
Days Inventory
3.32 (As of Mar. 2014)

National Grid PLC's inventory for the six months ended in Mar. 2014 was \$360 Mil. National Grid PLC's cost of goods sold for the six months ended in Mar. 2014 was \$9,863 Mil. Hence, National Grid PLC's days inventory for the six months ended in Mar. 2014 was 3.32.

National Grid PLC's days inventory declined from Mar. 2013 (4.11) to Mar. 2014 (3.32).

Inventory can be measured by Days Sales of Inventory (DSI). National Grid PLC's days sales of inventory (DSI) for the six months ended in Mar. 2014 was 2.42.

Inventory turnover measures how fast the company turns over its inventory within a year. National Grid PLC's inventory turnover for the six months ended in Mar. 2014 was 27.39.

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. National Grid PLC's inventory to revenue ratio for the six months ended in Mar. 2014 was 0.03.

Definition

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

National Grid PLC's Days Inventory for the fiscal year that ended in Mar. 2014 is calculated as

 Days Inventory = Inventory / Cost of Goods Sold * Days in Period = 360.13400335 / 18549.4137353 * 365 = 7.09

National Grid PLC's Days Inventory for the quarter that ended in Mar. 2014 is calculated as:

 Days Inventory = Inventory / Cost of Goods Sold * Days in Period = 360.13400335 / 9862.64656616 * 91 = 3.32

* 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).

National Grid PLC's Days Sales of Inventory for the six months ended in Mar. 2014 is calculated as

 Days Sales of Inventory (DSI) = Inventory / Revenue * Days in Period = 360.13400335 / 13547.7386935 * 91 = 2.42

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

National Grid PLC's Inventory Turnover for the six months ended in Mar. 2014 is calculated as

 Inventory Turnover = Cost of Goods Sold / Average Inventory = 9862.64656616 / 360.13400335 = 27.39

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.

National Grid PLC's Inventory to Revenue for the six months ended in Mar. 2014 is calculated as

 Inventory to Revenue = Inventory / Revenue = 360.13400335 / 13547.7386935 = 0.03

* 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.

National Grid PLC Annual Data

 Mar05 Mar06 Mar07 Mar08 Mar09 Mar10 Mar11 Mar12 Mar13 Mar14 DaysInventory 0.00 8.66 6.18 25.13 19.35 18.30 9.57 12.30 9.74 7.09

National Grid PLC Semi-Annual Data

 Sep09 Mar10 Sep10 Mar11 Sep11 Mar12 Sep12 Mar13 Sep13 Mar14 DaysInventory 12.65 10.69 10.85 4.41 9.98 5.76 8.47 4.11 7.35 3.32
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