Royal Arc Electrodes (NSE:ROYALARC) Inventory Turnover: 3.36 (As of Mar. 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

NSE:ROYALARC Royal Arc Electrodes Ltd NSE:ROYALARC
19 GF Score
Price ₹153.10
! 4 Warning Signs
View Full Analysis

What is Royal Arc Electrodes Inventory Turnover?

Royal Arc Electrodes NSE:ROYALARC +2.07% 19 Inventory Turnover is 3.36 as of Mar. 2026. GuruFocus rates NSE:ROYALARC with a GF Score™ of 19/100. The stock has 4 warning signs investors should review.

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. Royal Arc Electrodes's Cost of Goods Sold for the six months ended in Mar. 2026 was ₹461.4 Mil. Royal Arc Electrodes's Average Total Inventories for the quarter that ended in Mar. 2026 was ₹137.3 Mil. Royal Arc Electrodes's Inventory Turnover for the quarter that ended in Mar. 2026 was 3.36.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Royal Arc Electrodes's Days Inventory for the six months ended in Mar. 2026 was 54.31.

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. Royal Arc Electrodes's Inventory-to-Revenue for the quarter that ended in Mar. 2026 was 0.22.


Royal Arc Electrodes  (NSE:ROYALARC) 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.

Royal Arc Electrodes's Days Inventory for the six months ended in Mar. 2026 is calculated as:

Days Inventory =Average Total Inventories (Q: Mar. 2026 )/Cost of Goods Sold (Q: Mar. 2026 )*Days in Period
=137.322/461.436*365 / 2
=54.31

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.

Royal Arc Electrodes's Inventory to Revenue for the quarter that ended in Mar. 2026 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=137.322 / 632.209
=0.22

* 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.


Royal Arc Electrodes Inventory Turnover Related Terms


Royal Arc Electrodes Inventory Turnover Historical Data

* Premium members only.

The historical data trend for Royal Arc Electrodes'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.

Royal Arc Electrodes Inventory Turnover Chart

Royal Arc Electrodes Annual Data
Trend Mar22 Mar23 Mar24 Mar25 Mar26
Inventory Turnover
4.38 7.98 8.80 5.96 6.10

Royal Arc Electrodes Semi-Annual Data
Mar22 Mar23 Mar24 Sep24 Mar25 Mar26
Inventory Turnover Get a 7-Day Free Trial 0.00 0.00 3.47 2.95 3.36
NSE:ROYALARC
19GF Score
Royal Arc Electrodes Ltd NSE:ROYALARC
Inventory Turnover is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Royal Arc Electrodes Inventory Turnover Calculation

Royal Arc Electrodes's Inventory Turnover for the fiscal year that ended in Mar. 2026 is calculated as

Inventory Turnover (A: Mar. 2026 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Mar. 2026 ) / ((Total Inventories (A: Mar. 2025 ) + Total Inventories (A: Mar. 2026 )) / count )
=837.185 / ((142.818 + 131.826) / 2 )
=837.185 / 137.322
=6.10

Royal Arc Electrodes's Inventory Turnover for the quarter that ended in Mar. 2026 is calculated as

Inventory Turnover (Q: Mar. 2026 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Mar. 2026 ) / ((Total Inventories (Q: Mar. 2025 ) + Total Inventories (Q: Mar. 2026 )) / count )
=461.436 / ((142.818 + 131.826) / 2 )
=461.436 / 137.322
=3.36

* 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 3.36 mean?
Royal Arc Electrodes (NSE:ROYALARC) has a Inventory Turnover of 3.36 as of Mar. 2026. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Royal Arc Electrodes and its competitors.
Is Royal Arc Electrodes' Inventory Turnover too high?
Royal Arc Electrodes' current Inventory Turnover is 3.36. Overall, Royal Arc Electrodes has a GF Score™ of 19/100, reflecting its overall financial health beyond just this single metric.
How does Royal Arc Electrodes' Inventory Turnover compare to VRT and BE?
Royal Arc Electrodes' Inventory Turnover of 3.36 can be compared against companies in the Industrial Products 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 Industrial Products company?
A good Inventory Turnover depends on the Industrial Products 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 Royal Arc Electrodes and its competitors. Royal Arc Electrodes's current Inventory Turnover is 3.36. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Royal Arc Electrodes stock overvalued right now?
Royal Arc Electrodes (NSE:ROYALARC) has a current Inventory Turnover of 3.36. The current Inventory Turnover is 3.36. Royal Arc Electrodes' overall GF Score™ is 19/100 with 4 warning signs to review. 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 Royal Arc Electrodes (NSE:ROYALARC), the current Inventory Turnover is 3.36 as of Mar. 2026. 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.

Royal Arc Electrodes Business Description

Address S.V. Road, 72 B, Bombay Talkies Compound, Malad West, Mumbai, MH, IND, 400064
Royal Arc Electrodes Ltd is engaged in the business of manufacturing welding consumables such as welding electrodes, flux cored wire, MIG/TIG wires, which finds its application in the welding of tanks, boilers, heavy structures, beams, pipes, cylinders, pressure vessels, etc. which are used in industries like railways, roadways, airport infrastructure, refineries, shipyards, mines, sugar industries, telecom industries, thermal power stations, PEB sectors, etc. Further, the Company is also engaged in the business of trading ancillary/incidental products like wheels, electro slag, welding flux cored wire, electro slag strip cladding, saw flux, and TIG /MIG wires. It manufactures its products from copper coated wire, MS Strips, MS wire, SS strip, SS wire, nickel wire, ferro alloy powder, etc.
19GF Score

Get the complete analysis for NSE:ROYALARC

Inventory Turnover is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹153.10
Price