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Telular Corporation (NAS:WRLS)
Days Inventory
71.85 (As of Mar. 2013)

Telular Corporation's average inventory for the three months ended in Mar. 2013 was \$9.23 Mil. Telular Corporation's cost of goods sold for the three months ended in Mar. 2013 was \$11.73 Mil. Hence, Telular Corporation's days inventory for the three months ended in Mar. 2013 was 71.85.

Telular Corporation's days inventory increased from Mar. 2012 (36.91) to Mar. 2013 (71.85). It might indicate that Telular Corporation's sales slowed down.

Inventory can be measured by Days Sales of Inventory (DSI). Telular Corporation's days sales of inventory (DSI) for the three months ended in Mar. 2013 was 33.98.

Inventory turnover measures how fast the company turns over its inventory within a year. Telular Corporation's inventory turnover for the three months ended in Mar. 2013 was 1.27.

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. Telular Corporation's inventory to revenue ratio for the three months ended in Mar. 2013 was 0.37.

Definition

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

Telular Corporation's Days Inventory for the fiscal year that ended in Sep. 2012 is calculated as

 Days Inventory (A: Sep. 2012 ) = Average Inventory / COGS * Days in Period = ( (Inventory (A: Sep. 2011 ) + Inventory (A: Sep. 2012 )) / 2 ) / COGS (A: Sep. 2012 ) * Days in Period = ( (3.005 + 7.478) / 2 ) / 37.255 * 365 = 5.2415 / 37.255 * 365 = 51.35

Telular Corporation's Days Inventory for the quarter that ended in Mar. 2013 is calculated as:

 Days Inventory (Q: Mar. 2013 ) = Average Inventory / COGS * Days in Period = ( (Inventory (Q: Dec. 2012 ) + Inventory (Q: Mar. 2013 )) / 2 ) / COGS (Q: Mar. 2013 ) * Days in Period = ( (9.315 + 9.15) / 2 ) / 11.726 * 365 / 4 = 9.2325 / 11.726 * 365 / 4 = 71.85

* 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).

Telular Corporation's Days Sales of Inventory for the three months ended in Mar. 2013 is calculated as

 Days Sales of Inventory (DSI) = Average Inventory / Revenue * Days in Period = 9.2325 / 24.793 * 365 / 4 = 33.98

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

Telular Corporation's Inventory Turnover for the three months ended in Mar. 2013 is calculated as

 Inventory Turnover = Cost of Goods Sold / Average Inventory = 11.726 / 9.2325 = 1.27

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.

Telular Corporation's Inventory to Revenue for the three months ended in Mar. 2013 is calculated as

 Inventory to Revenue = Average Inventory / Revenue = 9.2325 / 24.793 = 0.37

* 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.

Telular Corporation Annual Data

 Sep03 Sep04 Sep05 Sep06 Sep07 Sep08 Sep09 Sep10 Sep11 Sep12 DaysInventory 74.03 72.72 80.14 49.05 59.27 59.22 115.17 84.15 56.35 51.35

Telular Corporation Quarterly Data

 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 DaysInventory 64.11 58.84 63.87 50.15 43.66 36.91 47.56 58.70 61.99 71.85
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