Karuturi Global (NSE:KGL) Inventory Turnover: 3.86 (As of Dec. 2018)

What is Karuturi Global Inventory Turnover?

Karuturi Global NSE:KGL Inventory Turnover is 3.86 as of Dec. 2018.

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. Karuturi Global's Cost of Goods Sold for the three months ended in Dec. 2018 was ₹290 Mil. Karuturi Global's Average Total Inventories for the quarter that ended in Dec. 2018 was ₹75 Mil. Karuturi Global's Inventory Turnover for the quarter that ended in Dec. 2018 was 3.86.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Karuturi Global's Days Inventory for the three months ended in Dec. 2018 was 23.64.

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. Karuturi Global's Inventory-to-Revenue for the quarter that ended in Dec. 2018 was 0.14.

Karuturi Global (NSE:KGL) 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.

Karuturi Global's Days Inventory for the three months ended in Dec. 2018 is calculated as:

Days Inventory	=	Average Total Inventories (Q: Dec. 2018 )	/	Cost of Goods Sold (Q: Dec. 2018 )	*	Days in Period
	=	75.075	/	289.847	*	365 / 4
	=	23.64

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.

Karuturi Global's Inventory to Revenue for the quarter that ended in Dec. 2018 is calculated as

Inventory-to-Revenue	=	Average Total Inventories (Q: Dec. 2018 )	/	Revenue (Q: Dec. 2018 )
	=	75.075	/	553.791
	=	0.14

* 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.

Karuturi Global Inventory Turnover Related Terms

Karuturi Global Inventory Turnover Historical Data

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The historical data trend for Karuturi Global's Inventory Turnover can be seen below:

Karuturi Global Inventory Turnover Chart

Karuturi Global Annual Data

Trend

Mar09

Mar10

Mar11

Mar12

Mar13

Mar14

Mar15

Mar16

Mar17

Mar18

Inventory Turnover

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4.89

6.02

4.80

5.80

19.75

Karuturi Global Quarterly Data
	Mar14	Jun14	Sep14	Dec14	Mar15	Jun15	Sep15	Dec15	Mar16	Jun16	Sep16	Dec16	Mar17	Jun17	Sep17	Dec17	Mar18	Jun18	Sep18	Dec18
Inventory Turnover	Get a 7-Day Free Trial															5.02	8.59	3.71	3.40	3.86

Karuturi Global Inventory Turnover Calculation

Karuturi Global's Inventory Turnover for the fiscal year that ended in Mar. 2018 is calculated as

	Inventory Turnover (A: Mar. 2018 )
=	Cost of Goods Sold	/	Average Total Inventories
=	Cost of Goods Sold (A: Mar. 2018 )	/ (	(Total Inventories (A: Mar. 2017 )	+	Total Inventories (A: Mar. 2018 ))	/	count )
=	1317.363	/ (	(71.382	+	62.053)	/	2 )
=	1317.363	/	66.7175
=	19.75

Karuturi Global's Inventory Turnover for the quarter that ended in Dec. 2018 is calculated as

	Inventory Turnover (Q: Dec. 2018 )
=	Cost of Goods Sold	/	Average Total Inventories
=	Cost of Goods Sold (Q: Dec. 2018 )	/ (	(Total Inventories (Q: Sep. 2018 )	+	Total Inventories (Q: Dec. 2018 ))	/	count )
=	289.847	/ (	(75.075	+	0)	/	1 )
=	289.847	/	75.075
=	3.86

Frequently Asked Questions Learn more about Inventory Turnover →

What does a Inventory Turnover of 3.86 mean?

Karuturi Global (NSE:KGL) has a Inventory Turnover of 3.86 as of Dec. 2018. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Karuturi Global and its competitors.

Is Karuturi Global's Inventory Turnover too high?

Karuturi Global's current Inventory Turnover is 3.86.

How does Karuturi Global's Inventory Turnover compare to SIAF?

Karuturi Global's Inventory Turnover of 3.86 can be compared against companies in the Consumer Packaged Goods 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 a Consumer Packaged Goods company?

A good Inventory Turnover depends on the Consumer Packaged Goods 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 Karuturi Global and its competitors. Karuturi Global's current Inventory Turnover is 3.86. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Karuturi Global stock overvalued right now?

Karuturi Global (NSE:KGL) has a current Inventory Turnover of 3.86. The current Inventory Turnover is 3.86. 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 Karuturi Global (NSE:KGL), the current Inventory Turnover is 3.86 as of Dec. 2018. 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.

Karuturi Global Business Description

Industry Consumer Defensive Consumer Packaged Goods

Comparable Companies XCNQ:FFT TSXV:OGO HKSE:00904 BOM:519397 WAR:AGL ASX:WOA DHA:BEACHHATCH SIAF IST:IZTAR IST:YAPRK XKLS:0074 BOM:538092 NZSE:ALF XTER:GTK TSE:1382 BOM:508494 KUW:DANAH BOM:509020 HKSE:08120 XSGO:COLOSO

Address 11, Crescent Road, Number 204, Embassy Center, Bangalore, KA, IND, 560001

Website http://www.karuturi.com

Karuturi Global Ltd is engaged in the manufacturing of flowers, plant and plant materials. The company is a producer and exporter of cut roses and has its operations in India, Ethiopia, Dubai, and Kenya. It is involved in the business of Floriculture, Agriculture, Food processing and Information technology (IT). The Floriculture products consist of cut flowers, pot plants, seeds bulbs, rooted cuttings and dried flowers. Its Agriculture business produces cereal crops like maize, corn, sugarcane, and oilseeds. The Food processing business specializes in gherkin processing such as bay valley foods, mount olive, vlassic, heinz, and lidl. The IT business offers customized e-commerce solutions to companies dealing with perishable goods and commodities, paper industries, and government agencies.