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WABCO Holdings (WABCO Holdings) Inventory Turnover : 1.63 (As of Mar. 2020)


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What is WABCO Holdings 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. WABCO Holdings's Cost of Goods Sold for the three months ended in Mar. 2020 was $534 Mil. WABCO Holdings's Average Total Inventories for the quarter that ended in Mar. 2020 was $327 Mil. WABCO Holdings's Inventory Turnover for the quarter that ended in Mar. 2020 was 1.63.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. WABCO Holdings's Days Inventory for the three months ended in Mar. 2020 was 55.93.

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. WABCO Holdings's Inventory-to-Revenue for the quarter that ended in Mar. 2020 was 0.44.


WABCO Holdings Inventory Turnover Historical Data

The historical data trend for WABCO Holdings'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.

WABCO Holdings Inventory Turnover Chart

WABCO Holdings Annual Data
Trend Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19
Inventory Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 9.14 8.85 8.41 8.30 7.94

WABCO Holdings Quarterly Data
Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20
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 1.95 1.91 1.70 1.78 1.63

WABCO Holdings Inventory Turnover Calculation

WABCO Holdings's Inventory Turnover for the fiscal year that ended in Dec. 2019 is calculated as

Inventory Turnover (A: Dec. 2019 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Dec. 2019 ) / ((Total Inventories (A: Dec. 2018 ) + Total Inventories (A: Dec. 2019 )) / count )
=2429.4 / ((319.1 + 292.9) / 2 )
=2429.4 / 306
=7.94

WABCO Holdings's Inventory Turnover for the quarter that ended in Mar. 2020 is calculated as

Inventory Turnover (Q: Mar. 2020 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Mar. 2020 ) / ((Total Inventories (Q: Dec. 2019 ) + Total Inventories (Q: Mar. 2020 )) / count )
=533.8 / ((292.9 + 361.5) / 2 )
=533.8 / 327.2
=1.63

* 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.


WABCO Holdings  (NYSE:WBC) 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.

WABCO Holdings's Days Inventory for the three months ended in Mar. 2020 is calculated as:

Days Inventory =Average Total Inventories (Q: Mar. 2020 )/Cost of Goods Sold (Q: Mar. 2020 )*Days in Period
=327.2/533.8*365 / 4
=55.93

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.

WABCO Holdings's Inventory to Revenue for the quarter that ended in Mar. 2020 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Mar. 2020 ) / Revenue (Q: Mar. 2020 )
=327.2 / 745.7
=0.44

* 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.


WABCO Holdings Inventory Turnover Related Terms

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WABCO Holdings (WABCO Holdings) Business Description

Traded in Other Exchanges
N/A
Address
1220 Pacific Drive, Auburn Hills, MI, USA, 48326-3511
WABCO Holdings Inc is a producer of car and truck safety and efficiency technologies. The product lineup includes driver assistance systems, brake and stability control systems, brake chambers, suspensions, emission control systems, and fleet management systems. The products are developed for cars, busses, trailers, trucks, and utility vehicles. The majority of revenue is generated in Germany and the United States of America.
Executives
Michael T Smith director 190 NW SPANISH RIVER BOULEVARD, SUITE 101, BOCA RATON FL 33431
Sean Deason officer: CFO and Controller C/O WABCO HOLDINGS INC., 2770 RESEARCH DRIVE, ROCHESTER HILLS MI 48309
Thomas Gross director DANAHER CORP, 2099 PENNSYLVANIA AVE NW 12TH FL, WASHINGTON DC 20006
G Peter Daloia director
Henry R. Keizer director MONTPELIER HOUSE, 94 PITTS BAY ROAD, PEMBROKE D0 HM 08
David Nicholas Reilly director 300 RENAISSANCE CENTER, M/C: 482-C32-C66, DETROIT MI 48265-3000
Jacques Esculier officer: CHIEF EXECUTIVE OFFICER C/O AMERICAN STANDARD COMPANIES INC, ONE CENTENNIAL AVENUE, PISCATAWAY NJ 08855
Montupet Jean Paul L director PARTNERRE LTD, WELLESLEY HOUSE 90 PITTS BAY RD, PEMBROKE BERMUDA D0 HM 08
Mary L Petrovich director
Prashanth Mahendra-rajah officer: Chief Financial Officer C/O WABCO HOLDINGS INC., ONE CENTENNIAL AVENUE, PISCATAWAY NJ 08855
Nikhil M Varty officer: President, Americas & VP, M&A CHAUSEE DE WAVRE, 1789 CARE OF WABCO VEHICLE CONTROL SYSTEMS BRUSSELS C9 1160
Donald J Stebbins director C/O WABCO HOLDINGS INC., ONE CENTENNIAL AVENUE, PISCATAWAY NJ 08855
John F Fiedler director 200 SOUTH MICHIGAN AVE, CHICAGO IL 60604
Ulrich Michel officer: Senior Vice President and CFO CHAUSEE DE WAVRE, 1789, CARE OF WABCO HOLDINGS INC, BRUSSELS C9 1160
Christopher Anthony Harrison officer: Chief Human Resources Officer 505 HUNTMAR PARK DR, SUITE 300, HERNDON VA 20170

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