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Nippon Steel (Nippon Steel) Inventory Turnover : 0.81 (As of Mar. 2024)


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What is Nippon Steel 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. Nippon Steel's Cost of Goods Sold for the three months ended in Mar. 2024 was $12,603 Mil. Nippon Steel's Average Total Inventories for the quarter that ended in Mar. 2024 was $15,615 Mil. Nippon Steel's Inventory Turnover for the quarter that ended in Mar. 2024 was 0.81.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Nippon Steel's Days Inventory for the three months ended in Mar. 2024 was 113.06.

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. Nippon Steel's Inventory-to-Revenue for the quarter that ended in Mar. 2024 was 1.05.

Nippon Steel Inventory Turnover Historical Data

The historical data trend for Nippon Steel'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.

Nippon Steel Inventory Turnover Chart

Nippon Steel Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Inventory Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.48 2.94 3.46 3.29 3.24

Nippon Steel Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 0.81 0.82 0.79 0.82 0.81

Nippon Steel Inventory Turnover Calculation

Nippon Steel'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 )
=49935.936 / ((15606.044 + 15196.144) / 2 )
=49935.936 / 15401.094
=3.24

Nippon Steel's Inventory Turnover for the quarter that ended in Mar. 2024 is calculated as

Inventory Turnover (Q: Mar. 2024 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Mar. 2024 ) / ((Total Inventories (Q: Dec. 2023 ) + Total Inventories (Q: Mar. 2024 )) / count )
=12602.975 / ((16033.928 + 15196.144) / 2 )
=12602.975 / 15615.036
=0.81

* 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.

Nippon Steel  (OTCPK:NISTF) 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.

Nippon Steel's Days Inventory for the three months ended in Mar. 2024 is calculated as:

Days Inventory =Average Total Inventories (Q: Mar. 2024 )/Cost of Goods Sold (Q: Mar. 2024 )*Days in Period
=15615.036/12602.975*365 / 4
=113.06

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.

Nippon Steel's Inventory to Revenue for the quarter that ended in Mar. 2024 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Mar. 2024 ) / Revenue (Q: Mar. 2024 )
=15615.036 / 14859.844
=1.05

* 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.

Nippon Steel Inventory Turnover Related Terms

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Nippon Steel (Nippon Steel) Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Basic Materials » Steel » Nippon Steel Corp (OTCPK:NISTF) » Definitions » Inventory Turnover
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Traded in Other Exchanges
NPSCY:USA 5401:Japan NPS:Germany
Address
6-1, Marunouchi 2-chome, Chiyoda-ku, Tokyo, JPN, 100-8071
Website
https://www.nipponsteel.com
Nippon Steel Corporation, or NS, is the largest steel producer in Japan and one of the top five producers globally. NS supplies steel products such as steel sheets, steel plates, pipes, tubes, bars, wire rods, and stainless steels. It is mainly exposed to the auto, construction, and energy sectors. Steelmaking accounts for around 85%-90% of its revenue, while the remainder stems from engineering and construction, chemicals, new materials, and system solutions. Around 35%-40% of its revenue is from exports.