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Arcos Dorados Holdings (Arcos Dorados Holdings) Days Inventory : 5.01 (As of Sep. 2023)


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What is Arcos Dorados Holdings Days Inventory?

Days Inventory is also known as Days Sales of Inventory (DSI). Arcos Dorados Holdings's Average Total Inventories for the three months ended in Sep. 2023 was $53 Mil. Arcos Dorados Holdings's Cost of Goods Sold for the three months ended in Sep. 2023 was $964 Mil. Hence, Arcos Dorados Holdings's Days Inventory for the three months ended in Sep. 2023 was 5.01.

The historical rank and industry rank for Arcos Dorados Holdings's Days Inventory or its related term are showing as below:

ARCO' s Days Inventory Range Over the Past 10 Years
Min: 5.13   Med: 6.81   Max: 8.81
Current: 5.21

During the past 13 years, Arcos Dorados Holdings's highest Days Inventory was 8.81. The lowest was 5.13. And the median was 6.81.

ARCO's Days Inventory is ranked better than
85.76% of 337 companies
in the Restaurants industry
Industry Median: 15.46 vs ARCO: 5.21

Arcos Dorados Holdings's Days Inventory increased from Sep. 2022 (4.60) to Sep. 2023 (5.01). It might indicate that Arcos Dorados Holdings's sales slowed down.

Inventory Turnover measures how fast the company turns over its inventory within a year. Arcos Dorados Holdings's Inventory Turnover for the three months ended in Sep. 2023 was 18.23.

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. Arcos Dorados Holdings's Inventory-to-Revenue for the three months ended in Sep. 2023 was 0.05.


Arcos Dorados Holdings Days Inventory Historical Data

The historical data trend for Arcos Dorados Holdings's Days Inventory 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.

Arcos Dorados Holdings Days Inventory Chart

Arcos Dorados Holdings Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
Days Inventory
Get a 7-Day Free Trial Premium Member Only Premium Member Only 8.81 5.91 6.97 5.58 5.13

Arcos Dorados Holdings Quarterly Data
Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23
Days Inventory 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 4.60 5.27 5.29 5.09 5.01

Competitive Comparison of Arcos Dorados Holdings's Days Inventory

For the Restaurants subindustry, Arcos Dorados Holdings's Days Inventory, along with its competitors' market caps and Days Inventory 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.


Arcos Dorados Holdings's Days Inventory Distribution in the Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Arcos Dorados Holdings's Days Inventory distribution charts can be found below:

* The bar in red indicates where Arcos Dorados Holdings's Days Inventory falls into.



Arcos Dorados Holdings Days Inventory Calculation

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

Arcos Dorados Holdings's Days Inventory for the fiscal year that ended in Dec. 2022 is calculated as

Days Inventory (A: Dec. 2022 )
=Average Total Inventories / Cost of Goods Sold*Days in Period
=( (Total Inventories (A: Dec. 2021 ) + Total Inventories (A: Dec. 2022 )) / count ) / Cost of Goods Sold (A: Dec. 2022 )*Days in Period
=( (37.8 + 50.088) / 2 ) / 3126.297*365
=43.944 / 3126.297*365
=5.13

Arcos Dorados Holdings's Days Inventory for the quarter that ended in Sep. 2023 is calculated as:

Days Inventory (Q: Sep. 2023 )
=Average Total Inventories / Cost of Goods Sold*Days in Period
=( (Total Inventories (Q: Jun. 2023 ) + Total Inventories (Q: Sep. 2023 )) / count ) / Cost of Goods Sold (Q: Sep. 2023 )*Days in Period
=( (51.457 + 54.303) / 2 ) / 963.865*365 / 4
=52.88 / 963.865*365 / 4
=5.01

* 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.


Arcos Dorados Holdings  (NYSE:ARCO) Days Inventory Explanation

Days Inventory indicates the liquidity of the inventory. Generally, a lower Days Inventory is preferred as it indicates a shorter duration to clear off the inventory. An increase of the ratio may indicate the company's sales slowed. Similar ratios related to Days Inventory are:

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

Arcos Dorados Holdings's Inventory Turnover for the three months ended in Sep. 2023 is calculated as

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.

Arcos Dorados Holdings's Inventory to Revenue for the three months ended in Sep. 2023 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.


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.


Arcos Dorados Holdings Days Inventory Related Terms

Thank you for viewing the detailed overview of Arcos Dorados Holdings's Days Inventory provided by GuruFocus.com. Please click on the following links to see related term pages.


Arcos Dorados Holdings (Arcos Dorados Holdings) Business Description

Address
Dr. Luis Bonavita 1294, Office 501, WTC Free Zone, Montevideo, URY, 11300
Arcos Dorados Holdings Inc operates McDonald's-branded restaurants in approximately 20 countries and territories in Latin America and the Caribbean. It functions through two sources which include company-operated restaurants and franchised restaurants segment. Their menu includes hamburgers, McNuggets, salad, sandwiches, french fries and others.