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Phillips 66 (NYSE:PSX)
Days Inventory
26.72 (As of Mar. 2016)

Phillips 66's average inventory for the three months ended in Mar. 2016 was $3,793 Mil. Phillips 66's cost of goods sold for the three months ended in Mar. 2016 was $12,953 Mil. Hence, Phillips 66's days inventory for the three months ended in Mar. 2016 was 26.72.

PSX' s Days Inventory Range Over the Past 10 Years
Min: 7.82   Max: 14.42
Current: 20.3

7.82
14.42

During the past 7 years, Phillips 66's highest Days Inventory was 14.42. The lowest was 7.82. And the median was 8.46.

PSX's Days Inventory is ranked higher than
59% of the 155 Companies
in the Global Oil & Gas Refining & Marketing industry.

( Industry Median: 27.99 vs. PSX: 20.30 )

Phillips 66's days inventory increased from Mar. 2015 (19.40) to Mar. 2016 (26.72). It might indicate that Phillips 66's sales slowed down.

Inventory can be measured by Days Sales of Inventory (DSI). Phillips 66's days sales of inventory (DSI) for the three months ended in Mar. 2016 was 19.49.

Inventory turnover measures how fast the company turns over its inventory within a year. Phillips 66's inventory turnover for the three months ended in Mar. 2016 was 3.42.

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. Phillips 66's inventory to revenue ratio for the three months ended in Mar. 2016 was 0.21.


Definition

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

Phillips 66's Days Inventory for the fiscal year that ended in Dec. 2014 is calculated as

Days Inventory (A: Dec. 2014 )
=Average Inventory / COGS*Days in Period
=( (Inventory (A: Dec. 2013 ) + Inventory (A: Dec. 2014 )) / 2 ) / COGS (A: Dec. 2014 )*Days in Period
=( (3354 + 3397) / 2 ) / 140183*365
=3375.5 / 140183*365
=8.79

Phillips 66's Days Inventory for the quarter that ended in Mar. 2016 is calculated as:

Days Inventory (Q: Mar. 2016 )
=Average Inventory / COGS*Days in Period
=( (Inventory (Q: Dec. 2015 ) + Inventory (Q: Mar. 2016 )) / 2 ) / COGS (Q: Mar. 2016 )*Days in Period
=( (3477 + 4108) / 2 ) / 12953*365 / 4
=3792.5 / 12953*365 / 4
=26.72

* 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).

Phillips 66's Days Sales of Inventory for the three months ended in Mar. 2016 is calculated as

Days Sales of Inventory (DSI)=Average Inventory/Revenue*Days in Period
=3792.5/17760*365 / 4
=19.49

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

Phillips 66's Inventory Turnover for the three months ended in Mar. 2016 is calculated as

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.

Phillips 66's Inventory to Revenue for the three months ended in Mar. 2016 is calculated as

* 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

Cost of Goods Sold, Inventory, Revenue, Inventory Turnover, Inventory to Revenue


Historical Data

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

Phillips 66 Annual Data

Dec09Dec10Dec11Dec12Dec13Dec14Dec15
DaysInventory 0.000.000.0014.4211.237.827.948.128.7916.15

Phillips 66 Quarterly Data

Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16
DaysInventory 9.6711.9112.2413.9413.9719.4016.2419.7621.1826.72
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