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McKesson Days Inventory

: 27.18 (As of Jun. 2022)
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Days Inventory is also known as Days Sales of Inventory (DSI). McKesson's Average Total Inventories for the three months ended in Jun. 2022 was $19,104 Mil. McKesson's Cost of Goods Sold for the three months ended in Jun. 2022 was $64,131 Mil. Hence, McKesson's Days Inventory for the three months ended in Jun. 2022 was 27.18.

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

MCK' s Days Inventory Range Over the Past 10 Years
Min: 27.61   Med: 29.73   Max: 32.98
Current: 27.62

During the past 13 years, McKesson's highest Days Inventory was 32.98. The lowest was 27.61. And the median was 29.73.

MCK's Days Inventory is ranked better than
76.54% of 81 companies
in the Medical Distribution industry
Industry Median: 53.67 vs MCK: 27.62

McKesson's Days Inventory declined from Jun. 2021 (30.03) to Jun. 2022 (27.18).

Inventory Turnover measures how fast the company turns over its inventory within a year. McKesson's Inventory Turnover for the three months ended in Jun. 2022 was 3.36.

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. McKesson's Inventory-to-Revenue for the three months ended in Jun. 2022 was 0.28.


McKesson Days Inventory Historical Data

The historical data trend for McKesson'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.

McKesson Annual Data
Trend Mar13 Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22
Days Inventory
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 29.24 29.75 27.87 29.04 27.61

McKesson Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
Days Inventory 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 Premium Member Only Premium Member Only Premium Member Only 30.03 28.40 26.85 27.42 27.18

Competitive Comparison

For the Medical Distribution subindustry, McKesson'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.

   

McKesson Days Inventory Distribution

For the Medical Distribution industry and Healthcare sector, McKesson's Days Inventory distribution charts can be found below:

* The bar in red indicates where McKesson's Days Inventory falls into.



McKesson Days Inventory Calculation

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

McKesson's Days Inventory for the fiscal year that ended in Mar. 2022 is calculated as

Days Inventory (A: Mar. 2022 )
=Average Total Inventories / Cost of Goods Sold*Days in Period
=( (Total Inventories (A: Mar. 2021 ) + Total Inventories (A: Mar. 2022 )) / count ) / Cost of Goods Sold (A: Mar. 2022 )*Days in Period
=( (19246 + 18702) / 2 ) / 250836*365
=18974 / 250836*365
=27.61

McKesson's Days Inventory for the quarter that ended in Jun. 2022 is calculated as:

Days Inventory (Q: Jun. 2022 )
=Average Total Inventories / Cost of Goods Sold*Days in Period
=( (Total Inventories (Q: Mar. 2022 ) + Total Inventories (Q: Jun. 2022 )) / count ) / Cost of Goods Sold (Q: Jun. 2022 )*Days in Period
=( (18702 + 19505) / 2 ) / 64131*365 / 4
=19103.5 / 64131*365 / 4
=27.18

* 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.


McKesson  (NYSE:MCK) 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.

McKesson's Inventory Turnover for the three months ended in Jun. 2022 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.

McKesson's Inventory to Revenue for the three months ended in Jun. 2022 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.


McKesson Days Inventory Related Terms

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


McKesson Business Description

McKesson logo
Address
6555 State Highway 161, Irving, TX, USA, 75039
McKesson is a leading wholesaler of branded, generic, and specialty pharmaceutical products to pharmacies (retail chains, independent, and mail order), hospitals networks, and healthcare providers. Along with AmerisourceBergen and Cardinal Health, the three account for well over 90% of the U.S. pharmaceutical wholesale industry. McKesson is currently divesting from its pharmaceutical wholesale and distribution in Europe and Canada in order to redeploy capital to strategic growth areas in the U.S. (oncology network and ecosystem, and biopharma services). Additionally, the company supplies medical-surgical products and equipment to healthcare facilities and provides a variety of technology solutions for pharmacies.
Executives
Rodgers Thomas L officer: EVP, Chief Strategy & BDO 6555 NORTH STATE HWY 161 IRVING TX 75039
Dunbar Webster Roy director 5757 N. GREEN BAY AVENUE MILWAUKEE WI 53209
Rutledge Napoleon B Jr officer: SVP, Controller & CAO 2999 WILDWOOD PARKWAY ATLANTA GA 30339
Flores Nancy officer: EVP, CIO & CTO 6555 NORTH STATE HWY 161 IRVING TX 75039
Hinton James H. director 6555 NORTH STATE HWY. 161 IRVING TX 75039
Wilson-thompson Kathleen director PO BOX 3599 BATTLE CREEK MI 49016-3599
Faber Tracy officer: EVP & Chief HR Officer 6555 NORTH STATE HWY 161 IRVING TX 75039
Tyler Brian S. officer: Chief Executive Officer MCKESSON CORPORATION 6555 STATE HWY 161 IRVING TX 75039
Schechter Lori A. officer: EVP, Chief Legal Officer & GC MCKESSON CORPORATION 6555 NORTH STATE HWY 161 IRVING TX 75039
Vitalone Britt J. officer: EVP & CFO MCKESSON CORPORATION 6555 STATE HWY 161 IRVING TX 75039
Emerson Kevin officer: SVP, Controller & CAO 6555 NORTH STATE HWY 161 IRVING TX 75039
Carmona Richard H director 1221 BROADWAY OAKLAND CA 94612
Mantia Linda Provie director C/O CERIDIAN HCM HOLDING INC., 3311 EAST OLD SHAKOPEE ROAD MINNEAPOLIS MN 55425
Martinez Maria director THE LANDMARK @ 1 MARKET STREET SUITE 300 SAN FRANCISCO CA 94105
Washington Kenneth E director 6555 STATE HWY 161 IRVING TX 75039

McKesson Headlines

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