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SFRGY (Salvatore Ferragamo SpA) Inventory-to-Revenue : 0.59 (As of Jun. 2024)


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What is Salvatore Ferragamo SpA Inventory-to-Revenue?

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. Salvatore Ferragamo SpA's Average Total Inventories for the quarter that ended in Jun. 2024 was $332 Mil. Salvatore Ferragamo SpA's Revenue for the six months ended in Jun. 2024 was $563 Mil. Salvatore Ferragamo SpA's Inventory-to-Revenue for the quarter that ended in Jun. 2024 was 0.59.

Salvatore Ferragamo SpA's Inventory-to-Revenue for the quarter that ended in Jun. 2024 increased from Dec. 2023 (0.53) to Dec. 2023 (0.59)

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. Salvatore Ferragamo SpA's Days Inventory for the six months ended in Jun. 2024 was 385.65.

Inventory Turnover measures how fast the company turns over its inventory within a year. Salvatore Ferragamo SpA's Inventory Turnover for the quarter that ended in Jun. 2024 was 0.47.


Salvatore Ferragamo SpA Inventory-to-Revenue Historical Data

The historical data trend for Salvatore Ferragamo SpA'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.

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Salvatore Ferragamo SpA Inventory-to-Revenue Chart

Salvatore Ferragamo SpA Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Inventory-to-Revenue
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.28 0.40 0.28 0.23 0.25

Salvatore Ferragamo SpA Semi-Annual Data
Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24
Inventory-to-Revenue 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 0.47 0.46 0.47 0.53 0.59

Competitive Comparison of Salvatore Ferragamo SpA's Inventory-to-Revenue

For the Luxury Goods subindustry, Salvatore Ferragamo SpA'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.


Salvatore Ferragamo SpA's Inventory-to-Revenue Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Salvatore Ferragamo SpA's Inventory-to-Revenue distribution charts can be found below:

* The bar in red indicates where Salvatore Ferragamo SpA's Inventory-to-Revenue falls into.



Salvatore Ferragamo SpA 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.

Salvatore Ferragamo SpA's Inventory-to-Revenue for the fiscal year that ended in Dec. 2023 is calculated as

Inventory-to-Revenue (A: Dec. 2023 )
=Average Total Inventories / Revenue
=( (Total Inventories (A: Dec. 2022 ) + Total Inventories (A: Dec. 2023 )) / count ) / Revenue (A: Dec. 2023 )
=( (291.656 + 325.349) / 2 ) / 1260.928
=308.5025 / 1260.928
=0.24

Salvatore Ferragamo SpA's Inventory-to-Revenue for the quarter that ended in Jun. 2024 is calculated as

Inventory-to-Revenue (Q: Jun. 2024 )
=Average Total Inventories / Revenue
=( (Total Inventories (Q: Dec. 2023 ) + Total Inventories (Q: Jun. 2024 )) / count ) / Revenue (Q: Jun. 2024 )
=( (325.349 + 337.717) / 2 ) / 563.119
=331.533 / 563.119
=0.59

* 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.


Salvatore Ferragamo SpA  (OTCPK:SFRGY) 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.

Salvatore Ferragamo SpA's Days Inventory for the six months ended in Jun. 2024 is calculated as:

Days Inventory=Average Total Inventories (Q: Jun. 2024 )/Cost of Goods Sold (Q: Jun. 2024 )*Days in Period
=331.533/156.891*365 / 2
=385.65

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

Salvatore Ferragamo SpA's Inventory Turnover for the quarter that ended in Jun. 2024 is calculated as

Inventory Turnover=Cost of Goods Sold (Q: Jun. 2024 ) / Average Total Inventories (Q: Jun. 2024 )
=156.891 / 331.533
=0.47

* 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.


Salvatore Ferragamo SpA Inventory-to-Revenue Related Terms

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Salvatore Ferragamo SpA Business Description

Address
Via dei Tornabuoni 2, Firenze, ITA, 50123
Founded in 1927, Salvatore Ferragamo is an Italian monobrand company mainly known for its footwear and accessories. The company generates about 45% of revenue in the fragmented footwear category, 40% in leather goods, 6% in apparel, and 7% in accessories. It was one of the pioneers in establishing a presence in Asia, where it generates 32% of sales and other emerging markets (8% of sales in Central and South America). Ferragamo generates 24% of revenue in Europe, 28% in the US, and 8% in Japan.

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