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. MTS Systems's Average Total Inventories for the quarter that ended in Dec. 2020 was $176.9 Mil. MTS Systems's Revenue for the
three
months ended in Dec. 2020 was $198.8 Mil.
MTS Systems's Inventory-to-Revenue for the quarter that ended in Dec. 2020 was 0.89.
MTS Systems's Inventory-to-Revenue for the quarter that ended in Dec. 2020
increased
from Sep. 2020 (0.82) to Sep. 2020 (0.89)
An increase in Inventory-to-Revenue from one quarter to the next indicates that one of the following is happening:
1. investment in inventory is growing more rapidly than revenue
2. revenue are dropping
No matter which situation is causing the problem, an increase in the Inventory-to-Revenue may signal an oncoming cash flow problem.
Days Inventory indicates the number of days of goods in sales that a company has in the inventory.
MTS Systems's Days Inventory for the
three
months ended in Dec. 2020 was 129.80.
Inventory Turnover measures how fast the company turns over its inventory within a year.
MTS Systems's Inventory Turnover for the quarter that ended in Dec. 2020 was 0.70.
MTS Systems Inventory-to-Revenue Historical Data
The historical data trend for MTS Systems's Inventory-to-Revenue 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.
Competitive Comparison of MTS Systems's Inventory-to-Revenue
For the Scientific & Technical Instruments subindustry, MTS Systems's Inventory-to-Revenue, along with its competitors' market caps and Inventory-to-Revenue data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
MTS Systems's Inventory-to-Revenue Distribution in the Hardware Industry
For the Hardware industry and Technology sector, MTS Systems's Inventory-to-Revenue distribution charts can be found below:
* The bar in red indicates where MTS Systems's Inventory-to-Revenue falls into.
MTS Systems Inventory-to-Revenue Calculation
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.
MTS Systems's Inventory-to-Revenue for the fiscal year that ended in Sep. 2020 is calculated as
* 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.
MTS Systems (NAS:MTSC) Inventory-to-Revenue Explanation
An increase in Inventory-to-Revenue from one quarter to the next indicates that one of the following is happening:
1. investment in inventory is growing more rapidly than revenue
2. revenue are dropping
No matter which situation is causing the problem, an increase in the Inventory-to-Revenue may signal an oncoming cash flow problem.
Likewise, a decrease in the Inventory-to-Revenue from one quarter to next indicates that one of these is occurring:
1. investment in inventory is shrinking in relation to revenue
2. revenue are increasing
No matter which situation is causing the reduction in the Inventory-to-Revenue, either one suggests that business's inventory levels and its cash flow are effectively managed.
More Related Terms:
1. Days Inventory indicates the number of days of goods in sales that a company has in the inventory.
MTS Systems's Days Inventory for the
three
months ended in Dec. 2020 is calculated as:
* 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.
MTS Systems Inventory-to-Revenue Related Terms
Thank you for viewing the detailed overview of MTS Systems's Inventory-to-Revenue provided by GuruFocus.com. Please click on the following links to see related term pages.
MTS Systems Corp is a supplier of test systems and position sensors. Its operations are organized and managed in two business segments; the Test and Simulation segment and the Sensors segment. Test and Simulation segment (Test) provides testing solutions including hardware, software, and services which are used by customers in product development to characterize the product's mechanical properties. Sensors segment (Sensors) is an in sensing technologies and solutions used by design engineers and predictive maintenance professionals, serving customers with a focus on total customer satisfaction, and offering regional support to provide and reliable sensing solutions.
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