Sanco Industries (NSE:SANCO) Inventory Turnover: 0.81 (As of Mar. 2020)

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NSE:SANCO Sanco Industries Ltd NSE:SANCO
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What is Sanco Industries Inventory Turnover?

Sanco Industries NSE:SANCO 4 Inventory Turnover is 0.81 as of Mar. 2020. GuruFocus rates NSE:SANCO with a GF Score™ of 4/100.

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. Sanco Industries's Cost of Goods Sold for the six months ended in Mar. 2020 was ₹329.8 Mil. Sanco Industries's Average Total Inventories for the quarter that ended in Mar. 2020 was ₹405.2 Mil. Sanco Industries's Inventory Turnover for the quarter that ended in Mar. 2020 was 0.81.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Sanco Industries's Days Inventory for the six months ended in Mar. 2020 was 224.24.

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. Sanco Industries's Inventory-to-Revenue for the quarter that ended in Mar. 2020 was 1.08.


Sanco Industries  (NSE:SANCO) 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.

Sanco Industries's Days Inventory for the six months ended in Mar. 2020 is calculated as:

Days Inventory =Average Total Inventories (Q: Mar. 2020 )/Cost of Goods Sold (Q: Mar. 2020 )*Days in Period
=405.1945/329.774*365 / 2
=224.24

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.

Sanco Industries's Inventory to Revenue for the quarter that ended in Mar. 2020 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Mar. 2020 ) / Revenue (Q: Mar. 2020 )
=405.1945 / 373.989
=1.08

* 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.


Sanco Industries Inventory Turnover Related Terms


Sanco Industries Inventory Turnover Historical Data

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The historical data trend for Sanco Industries'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.

Sanco Industries Inventory Turnover Chart

Sanco Industries Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20
Inventory Turnover
Get a 7-Day Free Trial 25.15 5.26 5.10 2.60 0.81

Sanco Industries Semi-Annual Data
Mar15 Mar16 Mar17 Mar18 Mar19 Mar20
Inventory Turnover Get a 7-Day Free Trial 25.15 5.26 5.10 2.60 0.81
NSE:SANCO
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Sanco Industries Ltd NSE:SANCO
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Sanco Industries Inventory Turnover Calculation

Sanco Industries's Inventory Turnover for the fiscal year that ended in Mar. 2020 is calculated as

Inventory Turnover (A: Mar. 2020 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Mar. 2020 ) / ((Total Inventories (A: Mar. 2019 ) + Total Inventories (A: Mar. 2020 )) / count )
=329.774 / ((386.116 + 424.273) / 2 )
=329.774 / 405.1945
=0.81

Sanco Industries's Inventory Turnover for the quarter that ended in Mar. 2020 is calculated as

Inventory Turnover (Q: Mar. 2020 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Mar. 2020 ) / ((Total Inventories (Q: Mar. 2019 ) + Total Inventories (Q: Mar. 2020 )) / count )
=329.774 / ((386.116 + 424.273) / 2 )
=329.774 / 405.1945
=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.

Frequently Asked Questions Learn more about Inventory Turnover →
What does a Inventory Turnover of 0.81 mean?
Sanco Industries (NSE:SANCO) has a Inventory Turnover of 0.81 as of Mar. 2020. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Sanco Industries and its competitors.
Is Sanco Industries' Inventory Turnover too high?
Sanco Industries' current Inventory Turnover is 0.81. Overall, Sanco Industries has a GF Score™ of 4/100, reflecting its overall financial health beyond just this single metric.
How does Sanco Industries' Inventory Turnover compare to HUBB?
Sanco Industries' Inventory Turnover of 0.81 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 Sanco Industries and its competitors. Sanco Industries's current Inventory Turnover is 0.81. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sanco Industries stock overvalued right now?
Sanco Industries (NSE:SANCO) has a current Inventory Turnover of 0.81. The current Inventory Turnover is 0.81. Sanco Industries' overall GF Score™ is 4/100. 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 Sanco Industries (NSE:SANCO), the current Inventory Turnover is 0.81 as of Mar. 2020. 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.

Sanco Industries Business Description

Address D - 161, Surajmal Vihar, Near Karkardooma Court, New Delhi, IND, 110092
Sanco Industries Ltd is an India-based holding company. It is engaged in the business of PVC Pipes, PVC Wires and Cables, and Copper Wire Rod. It is engaged in manufacturing and trading of polyvinyl chloride (PVC) resin, PVC compound, PVC profiles, light-emitting diode (LED) lights, and chemical. The company operates in one business segment namely, Manufacturing business. It offers various products, which comprise PVC conduit pipes, PVC casings, and cappings, PVC insulated wires, calcium carbonate, and PVC insulation tape.
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