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Mpac Group (LSE:MPAC) Inventory Turnover : 3.98 (As of Dec. 2023)


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What is Mpac Group 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. Mpac Group's Cost of Goods Sold for the six months ended in Dec. 2023 was £42.4 Mil. Mpac Group's Average Total Inventories for the quarter that ended in Dec. 2023 was £10.7 Mil. Mpac Group's Inventory Turnover for the quarter that ended in Dec. 2023 was 3.98.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Mpac Group's Days Inventory for the six months ended in Dec. 2023 was 45.84.

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. Mpac Group's Inventory-to-Revenue for the quarter that ended in Dec. 2023 was 0.17.

Mpac Group Inventory Turnover Historical Data

The historical data trend for Mpac Group'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.

Mpac Group Inventory Turnover Chart

Mpac Group Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Inventory Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 19.32 17.73 14.53 9.71 7.98

Mpac Group Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
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 6.92 6.76 4.20 4.06 3.98

Mpac Group Inventory Turnover Calculation

Mpac Group's Inventory Turnover for the fiscal year that ended in Dec. 2023 is calculated as

Inventory Turnover (A: Dec. 2023 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Dec. 2023 ) / ((Total Inventories (A: Dec. 2022 ) + Total Inventories (A: Dec. 2023 )) / count )
=82.6 / ((9.6 + 11.1) / 2 )
=82.6 / 10.35
=7.98

Mpac Group's Inventory Turnover for the quarter that ended in Dec. 2023 is calculated as

Inventory Turnover (Q: Dec. 2023 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Dec. 2023 ) / ((Total Inventories (Q: Jun. 2023 ) + Total Inventories (Q: Dec. 2023 )) / count )
=42.4 / ((10.2 + 11.1) / 2 )
=42.4 / 10.65
=3.98

* 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.

Mpac Group  (LSE:MPAC) 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.

Mpac Group's Days Inventory for the six months ended in Dec. 2023 is calculated as:

Days Inventory =Average Total Inventories (Q: Dec. 2023 )/Cost of Goods Sold (Q: Dec. 2023 )*Days in Period
=10.65/42.4*365 / 2
=45.84

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.

Mpac Group's Inventory to Revenue for the quarter that ended in Dec. 2023 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=10.65 / 61.4
=0.17

* 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.

Mpac Group Inventory Turnover Related Terms

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Mpac Group (LSE:MPAC) Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Industrials » Industrial Products » Mpac Group PLC (LSE:MPAC) » Definitions » Inventory Turnover
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Traded in Other Exchanges
N/A
Address
Station Road, Station Estate, Tadcaster, North Yorkshire, GBR, LS24 9SG
Website
https://www.mpac-group.com
Mpac Group PLC is a technology and services company that provides specialist technology and services. It offers high-performance instrumentation, machinery, and analytical services to the Food and Beverage, healthcare and pharmaceutical, and other sectors. The company has two reportable segments namely the Original Equipment segment generates revenue from the make, pack, and test of high-speed packaging solutions, first-of-kind machinery and high specification automation, secondary packaging equipment, and at-line instrumentation solutions. Its Service segment generates revenue from sales of spare parts and providing service engineers and support staff customers. Geographically, it has a presence in (EMEA) Europe, Africa, the Middle East, the United States, and the Asia Pacific.