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Heartware International, (FRA:HIY1) Inventory Turnover : 0.58 (As of Jun. 2016)


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What is Heartware International, 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. Heartware International,'s Cost of Goods Sold for the three months ended in Jun. 2016 was €21.2 Mil. Heartware International,'s Average Total Inventories for the quarter that ended in Jun. 2016 was €36.3 Mil. Heartware International,'s Inventory Turnover for the quarter that ended in Jun. 2016 was 0.58.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Heartware International,'s Days Inventory for the three months ended in Jun. 2016 was 156.38.

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. Heartware International,'s Inventory-to-Revenue for the quarter that ended in Jun. 2016 was 0.59.

Heartware International, Inventory Turnover Historical Data

The historical data trend for Heartware International,'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.

Heartware International, Inventory Turnover Chart

Heartware International, Annual Data
Trend Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15
Inventory Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.40 1.45 1.89 2.03 2.16

Heartware International, Quarterly Data
Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16
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 0.48 0.67 0.49 0.50 0.58

Heartware International, Inventory Turnover Calculation

Heartware International,'s Inventory Turnover for the fiscal year that ended in Dec. 2015 is calculated as

Inventory Turnover (A: Dec. 2015 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Dec. 2015 ) / ((Total Inventories (A: Dec. 2014 ) + Total Inventories (A: Dec. 2015 )) / count )
=94.818 / ((43.831 + 43.776) / 2 )
=94.818 / 43.8035
=2.16

Heartware International,'s Inventory Turnover for the quarter that ended in Jun. 2016 is calculated as

Inventory Turnover (Q: Jun. 2016 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Jun. 2016 ) / ((Total Inventories (Q: Mar. 2016 ) + Total Inventories (Q: Jun. 2016 )) / count )
=21.205 / ((38.979 + 33.699) / 2 )
=21.205 / 36.339
=0.58

* 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.

Heartware International,  (FRA:HIY1) 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.

Heartware International,'s Days Inventory for the three months ended in Jun. 2016 is calculated as:

Days Inventory =Average Total Inventories (Q: Jun. 2016 )/Cost of Goods Sold (Q: Jun. 2016 )*Days in Period
=36.339/21.205*365 / 4
=156.38

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.

Heartware International,'s Inventory to Revenue for the quarter that ended in Jun. 2016 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Jun. 2016 ) / Revenue (Q: Jun. 2016 )
=36.339 / 61.161
=0.59

* 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.

Heartware International, Inventory Turnover Related Terms

Thank you for viewing the detailed overview of Heartware International,'s Inventory Turnover provided by GuruFocus.com. Please click on the following links to see related term pages.

Heartware International, (FRA:HIY1) Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Healthcare » Medical Devices & Instruments » Heartware International, Inc. (FRA:HIY1) » Definitions » Inventory Turnover
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Traded in Other Exchanges
N/A
Address
Website
http://www.heartware.com
Heartware International Inc was incorporated in Delaware on July 29, 2008 and became the successor issuer to HeartWare Limited, an Australian corporation, on November 13, 2008, as a result of the Australian Court approved redomiciliation of HeartWare Limited from Australia to Delaware. HeartWare is a medical device company engaged in developing implantable blood pumps for the treatment of advanced heart failure. The Company operates one reportable segment which includes the design, manufacture and marketing of medical devices for the treatment of advanced heart failure. The HeartWare Ventricular Assist System, which includes a left ventricular assist device, or blood pump, patient accessories and surgical tools, is designed to provide circulatory support for patients with advanced heart failure. Beyond the HeartWare System, the company is also evaluating its next device, the Miniaturized Ventricular Assist Device. The MVAD is based on the same technology platform as the HeartWare System but adopts an axial flow, rather than a centrifugal flow, configuration and is being developed in multiple configurations. The MVAD designs are currently at the preclinical stage and undergoing animal studies focused on minimally invasive implantation techniques and are each approximately one-third the size of the HVAD Pump. The Company's competitors in the implantable cardiac assist space include Thoratec Corporation, Jarvik Heart, Inc., MicroMed Cardiovascular, Berlin Heart GmbH, and Sunshine Heart, Inc. HEARTWARE, HVAD, MVAD, PAL, CIRCULITE, SYNERGY and various company logos are the trademarks of the Company, in the United States, Europe, Australia and other countries.

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