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Hengong Precision Equipment Co (SZSE:301261) Inventory-to-Revenue : 0.91 (As of Mar. 2025)


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What is Hengong Precision Equipment Co 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. Hengong Precision Equipment Co's Average Total Inventories for the quarter that ended in Mar. 2025 was ¥216 Mil. Hengong Precision Equipment Co's Revenue for the three months ended in Mar. 2025 was ¥238 Mil. Hengong Precision Equipment Co's Inventory-to-Revenue for the quarter that ended in Mar. 2025 was 0.91.

Hengong Precision Equipment Co's Inventory-to-Revenue for the quarter that ended in Mar. 2025 increased from Dec. 2024 (0.76) to Dec. 2024 (0.91)

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. Hengong Precision Equipment Co's Days Inventory for the three months ended in Mar. 2025 was 110.67.

Inventory Turnover measures how fast the company turns over its inventory within a year. Hengong Precision Equipment Co's Inventory Turnover for the quarter that ended in Mar. 2025 was 0.82.


Hengong Precision Equipment Co Inventory-to-Revenue Historical Data

The historical data trend for Hengong Precision Equipment Co'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.

* Premium members only.

Hengong Precision Equipment Co Inventory-to-Revenue Chart

Hengong Precision Equipment Co Annual Data
Trend Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Inventory-to-Revenue
Get a 7-Day Free Trial 0.19 0.15 0.19 0.20 0.19

Hengong Precision Equipment Co Quarterly Data
Dec18 Dec19 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
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 0.80 0.78 0.95 0.76 0.91

Competitive Comparison of Hengong Precision Equipment Co's Inventory-to-Revenue

For the Metal Fabrication subindustry, Hengong Precision Equipment Co'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.


Hengong Precision Equipment Co's Inventory-to-Revenue Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Hengong Precision Equipment Co's Inventory-to-Revenue distribution charts can be found below:

* The bar in red indicates where Hengong Precision Equipment Co's Inventory-to-Revenue falls into.


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Hengong Precision Equipment Co 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.

Hengong Precision Equipment Co's Inventory-to-Revenue for the fiscal year that ended in Dec. 2024 is calculated as

Inventory-to-Revenue (A: Dec. 2024 )
=Average Total Inventories / Revenue
=( (Total Inventories (A: Dec. 2023 ) + Total Inventories (A: Dec. 2024 )) / count ) / Revenue (A: Dec. 2024 )
=( (188.53 + 210.446) / 2 ) / 1032.611
=199.488 / 1032.611
=0.19

Hengong Precision Equipment Co's Inventory-to-Revenue for the quarter that ended in Mar. 2025 is calculated as

Inventory-to-Revenue (Q: Mar. 2025 )
=Average Total Inventories / Revenue
=( (Total Inventories (Q: Dec. 2024 ) + Total Inventories (Q: Mar. 2025 )) / count ) / Revenue (Q: Mar. 2025 )
=( (210.446 + 221.659) / 2 ) / 237.586
=216.0525 / 237.586
=0.91

* 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.


Hengong Precision Equipment Co  (SZSE:301261) 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.

Hengong Precision Equipment Co's Days Inventory for the three months ended in Mar. 2025 is calculated as:

Days Inventory=Average Total Inventories (Q: Mar. 2025 )/Cost of Goods Sold (Q: Mar. 2025 )*Days in Period
=216.0525/178.143*365 / 4
=110.67

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

Hengong Precision Equipment Co's Inventory Turnover for the quarter that ended in Mar. 2025 is calculated as

Inventory Turnover=Cost of Goods Sold (Q: Mar. 2025 ) / Average Total Inventories (Q: Mar. 2025 )
=178.143 / 216.0525
=0.82

* 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.


Hengong Precision Equipment Co Inventory-to-Revenue Related Terms

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Hengong Precision Equipment Co Business Description

Traded in Other Exchanges
N/A
Address
Shangcheng Town Industrial Park, Cheng'an County, Hebei Province, Handan, CHN, 056700
Hengong Precision Equipment Co Ltd is engaged in the research and development, production and sales of precision machined parts and continuous iron castings.

Hengong Precision Equipment Co Headlines

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