Lakshmi Precision Screws (BOM:506079) Inventory Turnover: 0.60 (As of Mar. 2017)

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What is Lakshmi Precision Screws Inventory Turnover?

Lakshmi Precision Screws BOM:506079 Inventory Turnover is 0.60 as of Mar. 2017.

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. Lakshmi Precision Screws's Cost of Goods Sold for the six months ended in Mar. 2017 was ₹1,187 Mil. Lakshmi Precision Screws's Average Total Inventories for the quarter that ended in Mar. 2017 was ₹1,985 Mil. Lakshmi Precision Screws's Inventory Turnover for the quarter that ended in Mar. 2017 was 0.60.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Lakshmi Precision Screws's Days Inventory for the six months ended in Mar. 2017 was 305.29.

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. Lakshmi Precision Screws's Inventory-to-Revenue for the quarter that ended in Mar. 2017 was 0.78.

Lakshmi Precision Screws  (BOM:506079) 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.

Lakshmi Precision Screws's Days Inventory for the six months ended in Mar. 2017 is calculated as:

Days Inventory =Average Total Inventories (Q: Mar. 2017 )/Cost of Goods Sold (Q: Mar. 2017 )*Days in Period
=1984.916/1186.57*365 / 2
=305.29

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.

Lakshmi Precision Screws's Inventory to Revenue for the quarter that ended in Mar. 2017 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Mar. 2017 ) / Revenue (Q: Mar. 2017 )
=1984.916 / 2558.396
=0.78

* 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.

Lakshmi Precision Screws Inventory Turnover Related Terms

Lakshmi Precision Screws Inventory Turnover Historical Data

* Premium members only.

The historical data trend for Lakshmi Precision Screws'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.

Lakshmi Precision Screws Inventory Turnover Chart

Lakshmi Precision Screws Annual Data
Trend Mar08 Mar09 Mar10 Mar11 Mar12 Mar13 Mar14 Mar15 Mar16 Mar17
Inventory Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.66 0.67 0.71 0.75 0.60

Lakshmi Precision Screws Semi-Annual Data
Mar08 Mar09 Mar10 Mar11 Mar12 Mar13 Mar14 Mar15 Mar16 Mar17
Inventory Turnover Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.66 0.67 0.71 0.75 0.60

Lakshmi Precision Screws Inventory Turnover Calculation

Lakshmi Precision Screws's Inventory Turnover for the fiscal year that ended in Mar. 2017 is calculated as

Inventory Turnover (A: Mar. 2017 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Mar. 2017 ) / ((Total Inventories (A: Mar. 2016 ) + Total Inventories (A: Mar. 2017 )) / count )
=1186.57 / ((2005.801 + 1964.031) / 2 )
=1186.57 / 1984.916
=0.60

Lakshmi Precision Screws's Inventory Turnover for the quarter that ended in Mar. 2017 is calculated as

Inventory Turnover (Q: Mar. 2017 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Mar. 2017 ) / ((Total Inventories (Q: Mar. 2016 ) + Total Inventories (Q: Mar. 2017 )) / count )
=1186.57 / ((2005.801 + 1964.031) / 2 )
=1186.57 / 1984.916
=0.60

* 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 0.60 mean?
Lakshmi Precision Screws (BOM:506079) has a Inventory Turnover of 0.60 as of Mar. 2017. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Lakshmi Precision Screws and its competitors.
Is Lakshmi Precision Screws' Inventory Turnover too high?
Lakshmi Precision Screws' current Inventory Turnover is 0.60.
How does Lakshmi Precision Screws' Inventory Turnover compare to TXHG and TBLT?
Lakshmi Precision Screws' Inventory Turnover of 0.60 can be compared against companies in the Industrial Products 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 an Industrial Products company?
A good Inventory Turnover depends on the Industrial Products 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 Lakshmi Precision Screws and its competitors. Lakshmi Precision Screws's current Inventory Turnover is 0.60. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lakshmi Precision Screws stock overvalued right now?
Lakshmi Precision Screws (BOM:506079) has a current Inventory Turnover of 0.60. The current Inventory Turnover is 0.60. 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 Lakshmi Precision Screws (BOM:506079), the current Inventory Turnover is 0.60 as of Mar. 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.

Lakshmi Precision Screws Business Description

Address Hisar Road, 46/1, Mile Stone, Rohtak, HR, IND, 124001
Lakshmi Precision Screws Ltd is engaged in the business of manufacturing high-tensile fasteners. The product portfolio includes - Bolts and Screws, Pins, Nuts, Allen Key, Anchor Bush, Hammer, Wedges, Threaded road, Ball pins, Clevis pins, and many others. The company caters to the need of many sectors like Wind energy, Automotive, Defence, Electronic and communication, Construction, Agriculture, Tool and die, Oil and gas. The company's area of operation comprises four manufacturing units spread across an area of about 1,00,000 sqm.