NOEC (New Oriental Energy & Chemical) Inventory Turnover: 1.17 (As of Dec. 2010)


What is New Oriental Energy & Chemical Inventory Turnover?

New Oriental Energy & Chemical NOEC -99.00% Inventory Turnover is 1.17 as of Dec. 2010.

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. New Oriental Energy & Chemical's Cost of Goods Sold for the three months ended in Dec. 2010 was $1.91 Mil. New Oriental Energy & Chemical's Average Total Inventories for the quarter that ended in Dec. 2010 was $1.63 Mil. New Oriental Energy & Chemical's Inventory Turnover for the quarter that ended in Dec. 2010 was 1.17.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. New Oriental Energy & Chemical's Days Inventory for the three months ended in Dec. 2010 was 77.79.

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. New Oriental Energy & Chemical's Inventory-to-Revenue for the quarter that ended in Dec. 2010 was 1.73.

New Oriental Energy & Chemical  (OTCPK:NOEC) 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.

New Oriental Energy & Chemical's Days Inventory for the three months ended in Dec. 2010 is calculated as:

Days Inventory =Average Total Inventories (Q: Dec. 2010 )/Cost of Goods Sold (Q: Dec. 2010 )*Days in Period
=1.63/1.912*365 / 4
=77.79

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.

New Oriental Energy & Chemical's Inventory to Revenue for the quarter that ended in Dec. 2010 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Dec. 2010 ) / Revenue (Q: Dec. 2010 )
=1.63 / 0.944
=1.73

* 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.

New Oriental Energy & Chemical Inventory Turnover Related Terms

New Oriental Energy & Chemical Inventory Turnover Historical Data

* Premium members only.

The historical data trend for New Oriental Energy & Chemical'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.

New Oriental Energy & Chemical Inventory Turnover Chart

New Oriental Energy & Chemical Annual Data
Trend Dec05 Mar07 Mar08 Mar09 Mar10
Inventory Turnover
0.00 8.65 19.13 28.07 8.19

New Oriental Energy & Chemical Quarterly Data
Mar06 Jun06 Sep06 Dec06 Mar07 Jun07 Sep07 Dec07 Mar08 Jun08 Sep08 Dec08 Mar09 Jun09 Sep09 Dec09 Mar10 Jun10 Sep10 Dec10
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 2.38 1.59 2.83 0.75 1.17

New Oriental Energy & Chemical Inventory Turnover Calculation

New Oriental Energy & Chemical's Inventory Turnover for the fiscal year that ended in Mar. 2010 is calculated as

Inventory Turnover (A: Mar. 2010 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Mar. 2010 ) / ((Total Inventories (A: Mar. 2009 ) + Total Inventories (A: Mar. 2010 )) / count )
=38.037 / ((1.679 + 7.608) / 2 )
=38.037 / 4.6435
=8.19

New Oriental Energy & Chemical's Inventory Turnover for the quarter that ended in Dec. 2010 is calculated as

Inventory Turnover (Q: Dec. 2010 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Dec. 2010 ) / ((Total Inventories (Q: Sep. 2010 ) + Total Inventories (Q: Dec. 2010 )) / count )
=1.912 / ((1.748 + 1.512) / 2 )
=1.912 / 1.63
=1.17

* 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.

Frequently Asked Questions Learn more about Inventory Turnover →
What does a Inventory Turnover of 1.17 mean?
New Oriental Energy & Chemical (NOEC) has a Inventory Turnover of 1.17 as of Dec. 2010. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on New Oriental Energy & Chemical and its competitors.
Is New Oriental Energy & Chemical's Inventory Turnover too high?
New Oriental Energy & Chemical's current Inventory Turnover is 1.17.
How does New Oriental Energy & Chemical's Inventory Turnover compare to RTKHQ and LBTD?
New Oriental Energy & Chemical's Inventory Turnover of 1.17 can be compared against companies in the Agriculture industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Inventory Turnover for an Agriculture company?
A good Inventory Turnover depends on the Agriculture industry context. However, Inventory Turnover should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Inventory Turnover mean?
A high Inventory Turnover can signal that a stock is expensive relative to its fundamentals. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on New Oriental Energy & Chemical and its competitors. New Oriental Energy & Chemical's current Inventory Turnover is 1.17. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is New Oriental Energy & Chemical stock overvalued right now?
New Oriental Energy & Chemical (NOEC) has a current Inventory Turnover of 1.17. The current Inventory Turnover is 1.17. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Inventory Turnover calculated?
Inventory Turnover is calculated from a company's financial statements. For New Oriental Energy & Chemical (NOEC), the current Inventory Turnover is 1.17 as of Dec. 2010. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

New Oriental Energy & Chemical Business Description

Address Xicheng Industrial Zone of Luoshan, Xinyang, Henan Province, CHN, 464200
New Oriental Energy & Chemical Corporation, through its subsidiary, is engaged in the manufacture and distribution of fertilizer and chemical products in the People's Republic of China.