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Diffusion Engineers (BOM:544264) Inventory Turnover : 0.95 (As of Dec. 2024)


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What is Diffusion Engineers 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. Diffusion Engineers's Cost of Goods Sold for the three months ended in Dec. 2024 was ₹508 Mil. Diffusion Engineers's Average Total Inventories for the quarter that ended in Dec. 2024 was ₹532 Mil. Diffusion Engineers's Inventory Turnover for the quarter that ended in Dec. 2024 was 0.95.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Diffusion Engineers's Days Inventory for the three months ended in Dec. 2024 was 95.64.

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. Diffusion Engineers's Inventory-to-Revenue for the quarter that ended in Dec. 2024 was 0.67.


Diffusion Engineers Inventory Turnover Historical Data

The historical data trend for Diffusion Engineers'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.

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Diffusion Engineers Inventory Turnover Chart

Diffusion Engineers Annual Data
Trend Mar21 Mar22 Mar23 Mar24
Inventory Turnover
3.40 3.88 3.76 3.54

Diffusion Engineers Quarterly Data
Mar21 Mar22 Mar23 Jun23 Mar24 Dec24
Inventory Turnover Get a 7-Day Free Trial - - 0.85 0.99 0.95

Diffusion Engineers Inventory Turnover Calculation

Diffusion Engineers's Inventory Turnover for the fiscal year that ended in Mar. 2024 is calculated as

Inventory Turnover (A: Mar. 2024 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Mar. 2024 ) / ((Total Inventories (A: Mar. 2023 ) + Total Inventories (A: Mar. 2024 )) / count )
=1856.51 / ((517.09 + 532.12) / 2 )
=1856.51 / 524.605
=3.54

Diffusion Engineers's Inventory Turnover for the quarter that ended in Dec. 2024 is calculated as

Inventory Turnover (Q: Dec. 2024 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Dec. 2024 ) / ((Total Inventories (Q: Mar. 2024 ) + Total Inventories (Q: Dec. 2024 )) / count )
=507.72 / ((532.12 + 0) / 1 )
=507.72 / 532.12
=0.95

* 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.


Diffusion Engineers  (BOM:544264) 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.

Diffusion Engineers's Days Inventory for the three months ended in Dec. 2024 is calculated as:

Days Inventory =Average Total Inventories (Q: Dec. 2024 )/Cost of Goods Sold (Q: Dec. 2024 )*Days in Period
=532.12/507.72*365 / 4
=95.64

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.

Diffusion Engineers's Inventory to Revenue for the quarter that ended in Dec. 2024 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Dec. 2024 ) / Revenue (Q: Dec. 2024 )
=532.12 / 791.98
=0.67

* 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.


Diffusion Engineers Inventory Turnover Related Terms

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Diffusion Engineers Business Description

Traded in Other Exchanges
Address
Nagpur Industrial Area, T-5 & 6, MIDC, Hingna, Nagpur, MH, IND, 440016
Diffusion Engineers Ltd is engaged in the business of manufacturing welding consumables, wear plates and wear parts and heavy engineering machinery for core industries. Additionally, it is also involved in the trading of anti-wear powders and welding and cutting machinery. The company provides a super conditioning process at its manufacturing facilities, a surface treatment solution for machine components that enhances wear resistance, eliminates stress and improves their repairability ultimately extending their lifespan.

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