Life (ASX:LFC) Inventory Turnover: 36.66 (As of Jun. 2017)


What is Life Inventory Turnover?

Life ASX:LFC Inventory Turnover is 36.66 as of Jun. 2017. The stock has 5 warning signs investors should review.

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. Life's Cost of Goods Sold for the six months ended in Jun. 2017 was A$1.28 Mil. Life's Average Total Inventories for the quarter that ended in Jun. 2017 was A$0.03 Mil. Life's Inventory Turnover for the quarter that ended in Jun. 2017 was 36.66.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Life's Days Inventory for the six months ended in Jun. 2017 was 4.69.

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. Life's Inventory-to-Revenue for the quarter that ended in Jun. 2017 was 0.02.

Life  (ASX:LFC) 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.

Life's Days Inventory for the six months ended in Jun. 2017 is calculated as:

Days Inventory =Average Total Inventories (Q: Jun. 2017 )/Cost of Goods Sold (Q: Jun. 2017 )*Days in Period
=0.033/1.283*365 / 2
=4.69

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.

Life's Inventory to Revenue for the quarter that ended in Jun. 2017 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Jun. 2017 ) / Revenue (Q: Jun. 2017 )
=0.033 / 1.77
=0.02

* 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.

Life Inventory Turnover Related Terms

Life Inventory Turnover Historical Data

* Premium members only.

The historical data trend for Life'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.

Life Inventory Turnover Chart

Life Annual Data
Trend Jun07 Jun08 Jun09 Jun10 Jun11 Jun12 Jun13 Jun14 Jun16 Jun17
Inventory Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 32.16 34.22 22.10 56.44 82.29

Life Semi-Annual Data
Dec07 Jun08 Dec08 Jun09 Dec09 Jun10 Dec10 Jun11 Dec11 Jun12 Dec12 Jun13 Dec13 Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17
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 0.00 25.17 46.96 40.90 36.66

Life Inventory Turnover Calculation

Life's Inventory Turnover for the fiscal year that ended in Jun. 2017 is calculated as

Inventory Turnover (A: Jun. 2017 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Jun. 2017 ) / ((Total Inventories (A: Jun. 2016 ) + Total Inventories (A: Jun. 2017 )) / count )
=2.551 / ((0.027 + 0.035) / 2 )
=2.551 / 0.031
=82.29

Life's Inventory Turnover for the quarter that ended in Jun. 2017 is calculated as

Inventory Turnover (Q: Jun. 2017 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Jun. 2017 ) / ((Total Inventories (Q: Dec. 2016 ) + Total Inventories (Q: Jun. 2017 )) / count )
=1.283 / ((0.031 + 0.035) / 2 )
=1.283 / 0.033
=38.88

* 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.

Frequently Asked Questions Learn more about Inventory Turnover →
What does a Inventory Turnover of 36.66 mean?
Life (ASX:LFC) has a Inventory Turnover of 36.66 as of Jun. 2017. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Life and its competitors.
Is Life's Inventory Turnover too high?
Life's current Inventory Turnover is 36.66.
How does Life's Inventory Turnover compare to competitors?
Life's Inventory Turnover of 36.66 can be compared against companies in the Personal Services industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Inventory Turnover for a Personal Services company?
A good Inventory Turnover depends on the Personal Services industry context. However, Inventory Turnover should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Inventory Turnover mean?
A high Inventory Turnover can signal that a stock is expensive relative to its fundamentals. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Life and its competitors. Life's current Inventory Turnover is 36.66. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Life stock overvalued right now?
Life (ASX:LFC) has a current Inventory Turnover of 36.66. The current Inventory Turnover is 36.66. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Inventory Turnover calculated?
Inventory Turnover is calculated from a company's financial statements. For Life (ASX:LFC), the current Inventory Turnover is 36.66 as of Jun. 2017. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Life Business Description

Address 988 Toa Payoh North, No. 07-05, Singapore, SGP, 319002
Life Corp Ltd is a holding company. The company through its subsidiaries is engaged in providing multi-religion funeral services relating to burials or cremations and including other related ancillary services and supplies. The company provides one-stop funeral, bereavement and afterlife care services in Singapore.