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Donaldson Co (STU:DNZ) Inventory Turnover : 1.16 (As of Oct. 2024)


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What is Donaldson Co Inventory Turnover?

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. Donaldson Co's Cost of Goods Sold for the three months ended in Oct. 2024 was €533 Mil. Donaldson Co's Average Total Inventories for the quarter that ended in Oct. 2024 was €458 Mil. Donaldson Co's Inventory Turnover for the quarter that ended in Oct. 2024 was 1.16.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Donaldson Co's Days Inventory for the three months ended in Oct. 2024 was 78.50.

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. Donaldson Co's Inventory-to-Revenue for the quarter that ended in Oct. 2024 was 0.55.

Donaldson Co Inventory Turnover Historical Data

The historical data trend for Donaldson Co'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.

* Premium members only.

Donaldson Co Inventory Turnover Chart

Donaldson Co Annual Data
Trend Jul15 Jul16 Jul17 Jul18 Jul19 Jul20 Jul21 Jul22 Jul23 Jul24
Inventory Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.15 5.25 5.37 4.71 5.21

Donaldson Co Quarterly Data
Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24
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 1.32 1.30 1.37 1.30 1.16

Donaldson Co Inventory Turnover Calculation

Donaldson Co's Inventory Turnover for the fiscal year that ended in Jul. 2024 is calculated as

Inventory Turnover (A: Jul. 2024 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Jul. 2024 ) / ((Total Inventories (A: Jul. 2023 ) + Total Inventories (A: Jul. 2024 )) / count )
=2131.572 / ((377.962 + 439.517) / 2 )
=2131.572 / 408.7395
=5.21

Donaldson Co's Inventory Turnover for the quarter that ended in Oct. 2024 is calculated as

Inventory Turnover (Q: Oct. 2024 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Oct. 2024 ) / ((Total Inventories (Q: Jul. 2024 ) + Total Inventories (Q: Oct. 2024 )) / count )
=532.899 / ((439.517 + 477.36) / 2 )
=532.899 / 458.4385
=1.16

* 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.

Donaldson Co  (STU:DNZ) 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.

Donaldson Co's Days Inventory for the three months ended in Oct. 2024 is calculated as:

Days Inventory =Average Total Inventories (Q: Oct. 2024 )/Cost of Goods Sold (Q: Oct. 2024 )*Days in Period
=458.4385/532.899*365 / 4
=78.50

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.

Donaldson Co's Inventory to Revenue for the quarter that ended in Oct. 2024 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Oct. 2024 ) / Revenue (Q: Oct. 2024 )
=458.4385 / 826.292
=0.55

* 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.

Donaldson Co Inventory Turnover Related Terms

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Donaldson Co Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Industrials » Industrial Products » Donaldson Co Inc (STU:DNZ) » Definitions » Inventory Turnover
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Traded in Other Exchanges
DCI:USA DNZ:Germany
Address
1400 West 94th Street, Minneapolis, MN, USA, 55431
Website
https://ir.donaldson.com
Donaldson is a leading manufacturer of filtration systems and replacement parts (including air filtration systems, liquid filtration systems, and dust, fume, and mist collectors). The company serves a diverse range of end markets, including construction, mining, agriculture, truck, and industrial. Its business is organized into three segments: mobile solutions, industrial solutions, and life sciences. Donaldson generated approximately $3.6 billion in revenue and $544 million in operating income in its fiscal 2024.