GURUFOCUS.COM » STOCK LIST » Technology » Hardware » Sycamore Networks Inc (OTCPK:SCMR) » Definitions » Inventory Turnover

Sycamore Networks (Sycamore Networks) Inventory Turnover : 0.45 (As of Jan. 2013)


View and export this data going back to 1999. Start your Free Trial

What is Sycamore Networks Inventory Turnover?

Inventory Turnover measures how fast the company turns over its inventory within a year. It is calculated as Cost of Goods Sold divided by Total Inventories. Sycamore Networks's Cost of Goods Sold for the three months ended in Jan. 2013 was $4.02 Mil. Sycamore Networks's Average Total Inventories for the quarter that ended in Jan. 2013 was $9.00 Mil. Sycamore Networks's Inventory Turnover for the quarter that ended in Jan. 2013 was 0.45.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Sycamore Networks's Days Inventory for the three months ended in Jan. 2013 was 204.22.

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. Sycamore Networks's Inventory-to-Revenue for the quarter that ended in Jan. 2013 was 0.95.


Sycamore Networks Inventory Turnover Historical Data

The historical data trend for Sycamore Networks's Inventory Turnover can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Sycamore Networks Inventory Turnover Chart

Sycamore Networks Annual Data
Trend Jul03 Jul04 Jul05 Jul06 Jul07 Jul08 Jul09 Jul10 Jul11 Jul12
Inventory Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.75 1.93 2.27 1.98 2.43

Sycamore Networks Quarterly Data
Apr08 Jul08 Oct08 Jan09 Apr09 Jul09 Oct09 Jan10 Apr10 Jul10 Oct10 Jan11 Apr11 Jul11 Oct11 Jan12 Apr12 Jul12 Oct12 Jan13
Inventory Turnover Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.56 0.58 0.81 0.57 0.45

Sycamore Networks Inventory Turnover Calculation

Sycamore Networks's Inventory Turnover for the fiscal year that ended in Jul. 2012 is calculated as

Inventory Turnover (A: Jul. 2012 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Jul. 2012 ) / ((Total Inventories (A: Jul. 2011 ) + Total Inventories (A: Jul. 2012 )) / count )
=24.331 / ((11.537 + 8.469) / 2 )
=24.331 / 10.003
=2.43

Sycamore Networks's Inventory Turnover for the quarter that ended in Jan. 2013 is calculated as

Inventory Turnover (Q: Jan. 2013 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Jan. 2013 ) / ((Total Inventories (Q: Oct. 2012 ) + Total Inventories (Q: Jan. 2013 )) / count )
=4.021 / ((8.836 + 9.162) / 2 )
=4.021 / 8.999
=0.45

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Sycamore Networks  (OTCPK:SCMR) Inventory Turnover Explanation

Inventory Turnover measures how fast the company turns over its inventory within a year. A higher Inventory Turnover means the company has light inventory. Therefore the company spends less money on storage, write downs, and obsolete inventory. If the inventory is too light, it may affect sales because the company may not have enough to meet demand.

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

Sycamore Networks's Days Inventory for the three months ended in Jan. 2013 is calculated as:

Days Inventory =Average Total Inventories (Q: Jan. 2013 )/Cost of Goods Sold (Q: Jan. 2013 )*Days in Period
=8.999/4.021*365 / 4
=204.22

2. 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.

Sycamore Networks's Inventory to Revenue for the quarter that ended in Jan. 2013 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Jan. 2013 ) / Revenue (Q: Jan. 2013 )
=8.999 / 9.47
=0.95

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Usually retailers pile up their inventories at holiday seasons to meet the stronger demand. Therefore, the inventory of a particular quarter of a year should not be used to calculate Inventory Turnover. An average inventory is a better indication.


Sycamore Networks Inventory Turnover Related Terms

Thank you for viewing the detailed overview of Sycamore Networks's Inventory Turnover provided by GuruFocus.com. Please click on the following links to see related term pages.


Sycamore Networks (Sycamore Networks) Business Description

Traded in Other Exchanges
N/A
Address
Sycamore Networks Inc was incorporated under the laws of the State of Delaware on February 17, 1998. The Company develops and markets Intelligent Bandwidth Management solutions for fixed line and mobile network operators worldwide and provides services associated with such products.
Executives
Robert E Donahue director
John W Gerdelman director C/O SYCAMORE NETWORKS INC, 220 MILL RD, CHELMSFORD MA 01824
Alan Cormier officer: General Counsel and Secretary 220 MILL ROAD, CHELMSFORD MA 01824