GURUFOCUS.COM » STOCK LIST » Basic Materials » Metals & Mining » Molycorp Inc (XSWX:MCP) » Definitions » Inventory Turnover

Molycorp (XSWX:MCP) Inventory Turnover : 0.84 (As of Jun. 2015)


View and export this data going back to . Start your Free Trial

What is Molycorp 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. Molycorp's Cost of Goods Sold for the three months ended in Jun. 2015 was CHF141.3 Mil. Molycorp's Average Total Inventories for the quarter that ended in Jun. 2015 was CHF168.4 Mil. Molycorp's Inventory Turnover for the quarter that ended in Jun. 2015 was 0.84.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Molycorp's Days Inventory for the three months ended in Jun. 2015 was 108.80.

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. Molycorp's Inventory-to-Revenue for the quarter that ended in Jun. 2015 was 1.59.


Molycorp Inventory Turnover Historical Data

The historical data trend for Molycorp'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.

Molycorp Inventory Turnover Chart

Molycorp Annual Data
Trend Dec09 Dec10 Dec11 Dec12 Dec13 Dec14
Inventory Turnover
Get a 7-Day Free Trial 2.33 2.67 2.54 2.66 3.52

Molycorp Quarterly Data
Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15
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 0.77 0.82 0.98 0.75 0.84

Molycorp Inventory Turnover Calculation

Molycorp'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 )
=560.991 / ((153.454 + 165.141) / 2 )
=560.991 / 159.2975
=3.52

Molycorp's Inventory Turnover for the quarter that ended in Jun. 2015 is calculated as

Inventory Turnover (Q: Jun. 2015 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Jun. 2015 ) / ((Total Inventories (Q: Mar. 2015 ) + Total Inventories (Q: Jun. 2015 )) / count )
=141.252 / ((177.158 + 159.676) / 2 )
=141.252 / 168.417
=0.84

* 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.


Molycorp  (XSWX:MCP) 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.

Molycorp's Days Inventory for the three months ended in Jun. 2015 is calculated as:

Days Inventory =Average Total Inventories (Q: Jun. 2015 )/Cost of Goods Sold (Q: Jun. 2015 )*Days in Period
=168.417/141.252*365 / 4
=108.80

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.

Molycorp's Inventory to Revenue for the quarter that ended in Jun. 2015 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Jun. 2015 ) / Revenue (Q: Jun. 2015 )
=168.417 / 106.112
=1.59

* 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.


Molycorp Inventory Turnover Related Terms

Thank you for viewing the detailed overview of Molycorp's Inventory Turnover provided by GuruFocus.com. Please click on the following links to see related term pages.


Molycorp (XSWX:MCP) Business Description

Traded in Other Exchanges
N/A
Address
Molycorp Inc, formerly known as Rare Earth Acquisitions LLC, was formed on March 4, 2010 as a new Delaware corporation. The Company manufactures custom engineered rare earth and rare metal products. Its business is organized into four reportable segments: Resources; Chemicals and Oxides; Magnetic Materials and Alloys; and Rare Metals. The Resources segment includes its operations at the Molycorp Mountain Pass Rare Earth Facility, where it conducts rare earth minerals extraction to produce: rare earth concentrates; REO, including lanthanum, cerium, neodymium, praseodymium, and yttrium; heavy rare earth concentrates, which include samarium, europium, gadolinium, terbium, dysprosium, and others; and SorbXTM, a line of proprietary rare earth-based water treatment products. The Chemicals and Oxides segment includes: production of REO at its operations at Molycorp Silmet; separated heavy rare earth oxides and other custom engineered materials from its facilities in Jiangyin, Jiangsu Province, China; and production of REO, salts of rare earth elements, or REEs, zirconium-based engineered materials and mixed rare earth/zirconium oxides from its facilities in Zibo, Shandong Province, China. The Magnetic Materials and Alloys segment includes: the production of Neo Powders through its wholly-owned manufacturing facilities in Tianjin, China, and Korat, Thailand, under the Molycorp Magnequench brand. This operating segment also includes manufacturing of neodymium and samarium magnet alloys, other specialty alloy products and rare earth metals at its MMA facility, located in Tolleson, Arizona. The Rare Metals segment produces, reclaims, refines and markets high value niche metals and their compounds that include gallium, indium, rhenium, tantalum, and niobium. Applications from products made in this segment include wireless technologies, LED, flat panel display, turbine, solar, catalyst, steel additive, electronics applications, and others. The Company's operations are subject to numerous and detailed international, national, federal, state and local laws, regulations and permits affecting the mining and mineral processing industry, including those pertaining to employee health and safety, environmental permitting and licensing, air quality standards, greenhouse gas, or GHG, emissions, water usage and disposal, pollution, waste management, plant and wildlife protection, handling and disposal of radioactive substances, remediation of soil and groundwater contamination, land use, reclamation and restoration of properties, the discharge of materials into the environment and groundwater quality and availability.

Molycorp (XSWX:MCP) Headlines

No Headlines