OTG (Otg Exp) Inventory Turnover: 44.77 (As of Dec. 2014)

What is Otg Exp Inventory Turnover?

Otg Exp OTG Inventory Turnover is 44.77 as of Dec. 2014.

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. Otg Exp's Cost of Goods Sold for the six months ended in Dec. 2014 was $212.75 Mil. Otg Exp's Average Total Inventories for the quarter that ended in Dec. 2014 was $4.75 Mil. Otg Exp's Inventory Turnover for the quarter that ended in Dec. 2014 was 44.77.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Otg Exp's Days Inventory for the six months ended in Dec. 2014 was 4.08.

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. Otg Exp's Inventory-to-Revenue for the quarter that ended in Dec. 2014 was 0.02.

Otg Exp (NAS:OTG) 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.

Otg Exp's Days Inventory for the six months ended in Dec. 2014 is calculated as:

Days Inventory	=	Average Total Inventories (Q: Dec. 2014 )	/	Cost of Goods Sold (Q: Dec. 2014 )	*	Days in Period
	=	4.7515	/	212.748	*	365 / 2
	=	4.08

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.

Otg Exp's Inventory to Revenue for the quarter that ended in Dec. 2014 is calculated as

Inventory-to-Revenue	=	Average Total Inventories (Q: Dec. 2014 )	/	Revenue (Q: Dec. 2014 )
	=	4.7515	/	273.603
	=	0.02

* 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.

Otg Exp Inventory Turnover Related Terms

Otg Exp Inventory Turnover Historical Data

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The historical data trend for Otg Exp's Inventory Turnover can be seen below:

Otg Exp Inventory Turnover Chart

Otg Exp Annual Data

Trend

Dec13

Dec14

Inventory Turnover

46.17

44.77

Otg Exp Semi-Annual Data
	Dec13	Dec14
Inventory Turnover	46.17	44.77

Otg Exp Inventory Turnover Calculation

Otg Exp's Inventory Turnover for the fiscal year that ended in Dec. 2014 is calculated as

	Inventory Turnover (A: Dec. 2014 )
=	Cost of Goods Sold	/	Average Total Inventories
=	Cost of Goods Sold (A: Dec. 2014 )	/ (	(Total Inventories (A: Dec. 2013 )	+	Total Inventories (A: Dec. 2014 ))	/	count )
=	212.748	/ (	(3.762	+	5.741)	/	2 )
=	212.748	/	4.7515
=	44.77

Otg Exp's Inventory Turnover for the quarter that ended in Dec. 2014 is calculated as

	Inventory Turnover (Q: Dec. 2014 )
=	Cost of Goods Sold	/	Average Total Inventories
=	Cost of Goods Sold (Q: Dec. 2014 )	/ (	(Total Inventories (Q: Dec. 2013 )	+	Total Inventories (Q: Dec. 2014 ))	/	count )
=	212.748	/ (	(3.762	+	5.741)	/	2 )
=	212.748	/	4.7515
=	44.77

Frequently Asked Questions Learn more about Inventory Turnover →

What does a Inventory Turnover of 44.77 mean?

Otg Exp (OTG) has a Inventory Turnover of 44.77 as of Dec. 2014. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Otg Exp and its competitors.

Is Otg Exp's Inventory Turnover too high?

Otg Exp's current Inventory Turnover is 44.77.

How does Otg Exp's Inventory Turnover compare to IRGTQ and CDIF?

Otg Exp's Inventory Turnover of 44.77 can be compared against companies in the Restaurants 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 Restaurants company?

A good Inventory Turnover depends on the Restaurants 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 Otg Exp and its competitors. Otg Exp's current Inventory Turnover is 44.77. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Otg Exp stock overvalued right now?

Otg Exp (OTG) has a current Inventory Turnover of 44.77. The current Inventory Turnover is 44.77. 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 Otg Exp (OTG), the current Inventory Turnover is 44.77 as of Dec. 2014. 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.

Otg Exp Business Description

Industry Consumer Cyclical Restaurants

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Website http://www.anotgexperience.com

Otg Exp Inc was incorporated on October 27, 2015 in Delaware. It is a travel restaurateur with operations in North America with more than 220 locations in 23 terminals across 10 airports. The Company designs, develops, operates and manages the terminal concessions programs, which refers to the programs where it either operates all of the F&B concessions or F&B and N&G concessions or have management authority over the concession program or terminal. The Company operates in the United States and Canada. It has relationships with manufacturers that deliver products directly to its concession locations. OTG's customers are comprised of two distinct groups. The first group includes airlines, such as United, Delta and JetBlue, airport operators and concession program managers. The other commercial enterprises include car rental companies, hotel chains and online shopping sites. The second group consists of the airport users, which include passengers, airline and airport employees. It competes with concession program companies, such as HMSHost Corporation, SSP Group and Hudson Group, as well as other regional and local concessionaires. The Company is subject to federal, state and local government regulations, including those relating to, among others, public health and safety, zoning and fire codes. Failure to obtain or retain food service, health permit or other licenses and approvals would adversely affect its operations.