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Asiainfo-Linkage, (FRA:AFB) Inventory Turnover : 3.01 (As of Sep. 2013)


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What is Asiainfo-Linkage, 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. Asiainfo-Linkage,'s Cost of Goods Sold for the three months ended in Sep. 2013 was €63.5 Mil. Asiainfo-Linkage,'s Average Total Inventories for the quarter that ended in Sep. 2013 was €21.1 Mil. Asiainfo-Linkage,'s Inventory Turnover for the quarter that ended in Sep. 2013 was 3.01.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Asiainfo-Linkage,'s Days Inventory for the three months ended in Sep. 2013 was 30.27.

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. Asiainfo-Linkage,'s Inventory-to-Revenue for the quarter that ended in Sep. 2013 was 0.20.


Asiainfo-Linkage, Inventory Turnover Historical Data

The historical data trend for Asiainfo-Linkage,'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.

Asiainfo-Linkage, Inventory Turnover Chart

Asiainfo-Linkage, Annual Data
Trend Dec03 Dec04 Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12
Inventory Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 8.77 8.80 18.73 21.71 16.95

Asiainfo-Linkage, Quarterly Data
Dec08 Mar09 Jun09 Sep09 Dec09 Mar10 Jun10 Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13
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 3.79 4.13 2.60 2.18 3.01

Asiainfo-Linkage, Inventory Turnover Calculation

Asiainfo-Linkage,'s Inventory Turnover for the fiscal year that ended in Dec. 2012 is calculated as

Inventory Turnover (A: Dec. 2012 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Dec. 2012 ) / ((Total Inventories (A: Dec. 2011 ) + Total Inventories (A: Dec. 2012 )) / count )
=254.328 / ((11.635 + 18.37) / 2 )
=254.328 / 15.0025
=16.95

Asiainfo-Linkage,'s Inventory Turnover for the quarter that ended in Sep. 2013 is calculated as

Inventory Turnover (Q: Sep. 2013 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Sep. 2013 ) / ((Total Inventories (Q: Jun. 2013 ) + Total Inventories (Q: Sep. 2013 )) / count )
=63.477 / ((23.953 + 18.155) / 2 )
=63.477 / 21.054
=3.01

* 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.


Asiainfo-Linkage,  (FRA:AFB) 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.

Asiainfo-Linkage,'s Days Inventory for the three months ended in Sep. 2013 is calculated as:

Days Inventory =Average Total Inventories (Q: Sep. 2013 )/Cost of Goods Sold (Q: Sep. 2013 )*Days in Period
=21.054/63.477*365 / 4
=30.27

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.

Asiainfo-Linkage,'s Inventory to Revenue for the quarter that ended in Sep. 2013 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Sep. 2013 ) / Revenue (Q: Sep. 2013 )
=21.054 / 107.106
=0.20

* 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.


Asiainfo-Linkage, Inventory Turnover Related Terms

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Asiainfo-Linkage, (FRA:AFB) Business Description

Traded in Other Exchanges
N/A
Address
Asiainfo-Linkage, Inc, a Delaware corporation, commenced operations in the United States in 1993. The Company is a provider of telecommunications software solutions and information technology, or IT, related services in China. It also provides variety of services including business operational consulting service, IT architecture planning service, system integration services based on its own products and other third party software and hardware, change of request implementation, maintenance on customer premise and management services. The Company's suite of innovative solutions includes business and operation support systems, network infrastructure solutions, and service application solutions. The products and services it offers to the telecommunications industry include various software product suites, most of which are designed with open architecture to facilitate further development and customization for specific purposes. The Company's core BSS/OSS offering primarily includes convergent billing solutions, CRM and BI systems. It also provides software enhancement and maintenance services for the systems it develop, as well as system integration and other value-added IT consulting and planning services. Its OSS Package is a highly comprehensive and intelligent service fulfilment framework based on OSS fulfilment domain definition in eTOM model and OSS specifications of telecom operators. In OSS Package, process analysis methodology and project implementation methodology enables a rapid implementation of telecom service fulfilment system. It provides process analysis methodology, project implementation methodology, inventory data model, interface integration framework and built-in inventory management templates. Its network management solutions include network access and backbone infrastructure planning, design and implementation for telecommunications and Internet service providers. These services include technical training for its customers, as well as professional maintenance and support services. The Company designs and provides a series of service applications that enable telecommunications operators and service providers to offer value-added services, such as Short Message Service, or SMS, mobile email, mobile entertainment and mobile e-commerce. These applications often involve licensed third-party software that it's customizes or integrate with its proprietary software to provide individualized solutions. The Company's software and services enable its customers to build, maintain, operate, manage and improve their communications infrastructure. Its largest customers are the major telecommunications carriers in China and their provincial subsidiaries, including China Mobile Communications Corporation, or China Mobile, China United Telecommunications Corporation, or China Unicom, and China Telecommunications Corporation, or China Telecom. The Company relies on its own sales force to market and sell its products and services