CanAm Coal (FRA:RHE) Inventory Turnover : 3.50 (As of Sep. 2014)

View and export this data going back to . Start your Free Trial

What is CanAm Coal 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. CanAm Coal's Cost of Goods Sold for the three months ended in Sep. 2014 was €11.87 Mil. CanAm Coal's Average Total Inventories for the quarter that ended in Sep. 2014 was €3.39 Mil. CanAm Coal's Inventory Turnover for the quarter that ended in Sep. 2014 was 3.50.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. CanAm Coal's Days Inventory for the three months ended in Sep. 2014 was 26.08.

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. CanAm Coal's Inventory-to-Revenue for the quarter that ended in Sep. 2014 was 0.29.

CanAm Coal Inventory Turnover Historical Data

The historical data trend for CanAm Coal'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.

CanAm Coal Inventory Turnover Chart

CanAm Coal Annual Data

Trend

Jan04

Jan05

Jan06

Jan07

Jan08

Jan09

Jan10

Jan11

Dec12

Dec13

Inventory Turnover

Get a 7-Day Free Trial

129.45

48.16

17.85

CanAm Coal Quarterly Data
	Oct09	Jan10	Apr10	Jul10	Oct10	Jan11	Apr11	Jul11	Oct11	Mar12	Jun12	Sep12	Dec12	Mar13	Jun13	Sep13	Dec13	Mar14	Jun14	Sep14
Inventory Turnover	Get a 7-Day Free Trial															5.17	3.70	3.65	4.22	3.50

CanAm Coal Inventory Turnover Calculation

CanAm Coal's Inventory Turnover for the fiscal year that ended in Dec. 2013 is calculated as

	Inventory Turnover (A: Dec. 2013 )
=	Cost of Goods Sold	/	Average Total Inventories
=	Cost of Goods Sold (A: Dec. 2013 )	/ (	(Total Inventories (A: Dec. 2012 )	+	Total Inventories (A: Dec. 2013 ))	/	count )
=	41.944	/ (	(1.698	+	3.001)	/	2 )
=	41.944	/	2.3495
=	17.85

CanAm Coal's Inventory Turnover for the quarter that ended in Sep. 2014 is calculated as

	Inventory Turnover (Q: Sep. 2014 )
=	Cost of Goods Sold	/	Average Total Inventories
=	Cost of Goods Sold (Q: Sep. 2014 )	/ (	(Total Inventories (Q: Jun. 2014 )	+	Total Inventories (Q: Sep. 2014 ))	/	count )
=	11.866	/ (	(2.837	+	3.947)	/	2 )
=	11.866	/	3.392
=	3.50

CanAm Coal (FRA:RHE) 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.

CanAm Coal's Days Inventory for the three months ended in Sep. 2014 is calculated as:

Days Inventory	=	Average Total Inventories (Q: Sep. 2014 )	/	Cost of Goods Sold (Q: Sep. 2014 )	*	Days in Period
	=	3.392	/	11.866	*	365 / 4
	=	26.08

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.

CanAm Coal's Inventory to Revenue for the quarter that ended in Sep. 2014 is calculated as

Inventory-to-Revenue	=	Average Total Inventories (Q: Sep. 2014 )	/	Revenue (Q: Sep. 2014 )
	=	3.392	/	11.748
	=	0.29

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.

CanAm Coal Inventory Turnover Related Terms

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

CanAm Coal (FRA:RHE) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Energy » Other Energy Sources » CanAm Coal Corp (FRA:RHE) » Definitions » Inventory Turnover

Comparable Companies

Traded in Other Exchanges

N/A

Address

1201-5th Street S W, Suite 202, Calgary, AB, CAN, T2R 0Y6

Website

http://www.canamcoal.com

CanAm Coal Corp acquires, explores and develops coal resources and resource related technologies. It owns and operates coal mines in Alabama. It also evaluates on an ongoing basis other coal and related opportunities.