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Avon Products (BUE:NTCO) Inventory Turnover : 0.75 (As of Mar. 2023)


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What is Avon Products 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. Avon Products's Cost of Goods Sold for the three months ended in Mar. 2023 was ARS47,096 Mil. Avon Products's Average Total Inventories for the quarter that ended in Mar. 2023 was ARS62,606 Mil. Avon Products's Inventory Turnover for the quarter that ended in Mar. 2023 was 0.75.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Avon Products's Days Inventory for the three months ended in Mar. 2023 was 121.30.

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. Avon Products's Inventory-to-Revenue for the quarter that ended in Mar. 2023 was 0.54.


Avon Products Inventory Turnover Historical Data

The historical data trend for Avon Products'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.

* Premium members only.

Avon Products Inventory Turnover Chart

Avon Products Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
Inventory Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.60 5.06 4.03 3.88 4.28

Avon Products Quarterly Data
Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23
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 0.74 0.79 0.80 0.94 0.75

Avon Products Inventory Turnover Calculation

Avon Products's Inventory Turnover for the fiscal year that ended in Dec. 2022 is calculated as

Inventory Turnover (A: Dec. 2022 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Dec. 2022 ) / ((Total Inventories (A: Dec. 2021 ) + Total Inventories (A: Dec. 2022 )) / count )
=202286.484 / ((38790.258 + 55693.328) / 2 )
=202286.484 / 47241.793
=4.28

Avon Products's Inventory Turnover for the quarter that ended in Mar. 2023 is calculated as

Inventory Turnover (Q: Mar. 2023 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Mar. 2023 ) / ((Total Inventories (Q: Dec. 2022 ) + Total Inventories (Q: Mar. 2023 )) / count )
=47095.921 / ((55693.328 + 69517.847) / 2 )
=47095.921 / 62605.5875
=0.75

* 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.


Avon Products  (BUE:NTCO) 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.

Avon Products's Days Inventory for the three months ended in Mar. 2023 is calculated as:

Days Inventory =Average Total Inventories (Q: Mar. 2023 )/Cost of Goods Sold (Q: Mar. 2023 )*Days in Period
=62605.5875/47095.921*365 / 4
=121.30

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.

Avon Products's Inventory to Revenue for the quarter that ended in Mar. 2023 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Mar. 2023 ) / Revenue (Q: Mar. 2023 )
=62605.5875 / 116653.278
=0.54

* 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.


Avon Products Inventory Turnover Related Terms

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Avon Products (BUE:NTCO) Business Description

Traded in Other Exchanges
N/A
Address
Nunn Mills Road, Lancaster House, Northampton, GBR, NN1 5PA
Avon Products Inc is a firm which manufactures and sells beauty and related products. Avon's product mix consists of beauty (cosmetics, fragrances, and skin care), fashion (accessories and apparel), and home (home products and gifts). Generating, a majority of its revenue from Beauty. The company's geographic operating segments includes Avon International and Avon Latin America.

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