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Toll Brothers Inc (NYSE:TOL)
Days Inventory
866.09 (As of Apr. 2014)

Toll Brothers Inc's inventory for the three months ended in Apr. 2014 was \$6,548 Mil. Toll Brothers Inc's cost of goods sold for the three months ended in Apr. 2014 was \$688 Mil. Hence, Toll Brothers Inc's days inventory for the three months ended in Apr. 2014 was 866.09.

Toll Brothers Inc's days inventory declined from Apr. 2013 (946.20) to Apr. 2014 (866.09).

Inventory can be measured by Days Sales of Inventory (DSI). Toll Brothers Inc's days sales of inventory (DSI) for the three months ended in Apr. 2014 was 692.57.

Inventory turnover measures how fast the company turns over its inventory within a year. Toll Brothers Inc's inventory turnover for the three months ended in Apr. 2014 was 0.11.

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. Toll Brothers Inc's inventory to revenue ratio for the three months ended in Apr. 2014 was 7.61.

Definition

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

Toll Brothers Inc'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 = 4650.412 / 2133.3 * 365 = 795.67

Toll Brothers Inc's Days Inventory for the quarter that ended in Apr. 2014 is calculated as:

 Days Inventory = Inventory / Cost of Goods Sold * Days in Period = 6548.024 / 687.998 * 91 = 866.09

* 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).

Toll Brothers Inc'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 = 6548.024 / 860.374 * 91 = 692.57

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

Toll Brothers Inc's Inventory Turnover for the three months ended in Apr. 2014 is calculated as

 Inventory Turnover = Cost of Goods Sold / Average Inventory = 687.998 / 6548.024 = 0.11

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.

Toll Brothers Inc's Inventory to Revenue for the three months ended in Apr. 2014 is calculated as

 Inventory to Revenue = Inventory / Revenue = 6548.024 / 860.374 = 7.61

* 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.

Toll Brothers Inc Annual Data

 Oct04 Oct05 Oct06 Oct07 Oct08 Oct09 Oct10 Oct11 Oct12 Oct13 DaysInventory 512.32 471.10 505.38 494.07 482.89 590.13 859.56 989.16 889.26 795.67

Toll Brothers Inc Quarterly Data

 Jan12 Apr12 Jul12 Oct12 Jan13 Apr13 Jul13 Oct13 Jan14 Apr14 DaysInventory 1,224.61 1,117.51 768.89 671.64 1,093.00 946.20 754.09 514.66 926.88 866.09
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