REI Agro (LSE:REA) Total Inventories: $539 Mil (As of Mar. 2014)


What is REI Agro Total Inventories?

REI Agro LSE:REA Total Inventories is $539 Mil as of Mar. 2014.

REI Agro's total inventories for the quarter that ended in Mar. 2014 was $539 Mil. REI Agro's average total inventories from the quarter that ended in Dec. 2013 to the quarter that ended in Mar. 2014 was $269 Mil.

In Ben Graham's calculation of Net-Net Working Capital, inventory is only considered worth half of its book value. REI Agro's Net-Net Working Capital per share for the quarter that ended in Mar. 2014 was $-13.79.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. REI Agro's Days Inventory for the three months ended in Mar. 2014 was 170.99.

Inventory Turnover measures how fast the company turns over its inventory within a year. REI Agro's Inventory Turnover for the quarter that ended in Mar. 2014 was 0.53.

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. REI Agro's Inventory-to-Revenue for the quarter that ended in Mar. 2014 was 1.55.


REI Agro  (LSE:REA) Total Inventories Explanation

Inventory control is an important part of business operation. If a company does not have enough inventory, it may not be able to meet customers' required delivery time. If it has too much inventory, the cost of holding the inventory can be high.

1. In Ben Graham's calculation of Net-Net Working Capital (NNWC), inventory is only considered worth half of its book value.

REI Agro's Net-Net Working Capital Per Share for the quarter that ended in Mar. 2014 is

Net-Net Working Capital Per Share (Q: Mar. 2014 )
=(Cash And Cash Equivalents+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(55.202+0.75 * 504.065+0.5 * 538.844-1356.61
-6.563-0)/47.899
=-13.79

2. Days Inventory indicates the number of days of goods in sales that a company has in the inventory.

REI Agro's Days Inventory for the three months ended in Mar. 2014 is calculated as:

Days Inventory=Average Total Inventories (Q: Mar. 2014 )/Cost of Goods Sold (Q: Mar. 2014 )*Days in Period
=269.422/143.779*365 / 4
=170.99

3. Inventory Turnover measures how fast the company turns over its inventory within a year.

REI Agro's Inventory Turnover for the quarter that ended in Mar. 2014 is calculated as

Inventory Turnover=Cost of Goods Sold (Q: Mar. 2014 ) / Average Total Inventories (Q: Mar. 2014 )
=143.779 / 269.422
=0.53

4. 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.

REI Agro's Inventory to Revenue for the quarter that ended in Mar. 2014 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Mar. 2014 ) / Revenue (Q: Mar. 2014 )
=269.422 / 173.924
=1.55

* 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

Manufacturers with durable competitive advantages have the advantage that the products they sell do not change, and therefore will never become obsolete. Buffett likes this advantage.

When identifying manufacturers with durable competitive advantage, look for inventory and net earnings that rise correspondingly. This indicates that the company is finding profitable ways to increase sales which called for an increase in inventory.

Manufacturers with inventories that spike up and down are indicative of competitive industries subject to boom and bust.


REI Agro Total Inventories Related Terms


REI Agro Total Inventories Historical Data

* Premium members only.

The historical data trend for REI Agro's Total Inventories 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.

REI Agro Total Inventories Chart

REI Agro Annual Data
Trend Mar05 Mar06 Mar07 Mar08 Mar09 Mar10 Mar11 Mar12 Mar13 Mar14
Total Inventories
Get a 7-Day Free Trial Premium Member Only Premium Member Only 712.88 795.09 741.42 861.90 538.84

REI Agro Quarterly Data
Mar04 Mar05 Mar06 Mar07 Mar08 Mar09 Mar10 Mar11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Dec13 Mar14
Total Inventories 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 0.00 861.90 0.00 0.00 538.84

REI Agro Total Inventories Calculation

Total Inventories includes the raw materials, work-in-process goods and completely finished goods of a company. It is a portion of a company's current assets.

Frequently Asked Questions Learn more about Total Inventories →
What does a Total Inventories of $539 Mil mean?
REI Agro (LSE:REA) has a Total Inventories of $539 Mil as of Mar. 2014. The total amount of inventory as recorded on a company's balance sheet. View historical data for REI Agro and its competitors.
Is REI Agro's Total Inventories too high?
REI Agro's current Total Inventories is $539 Mil.
How does REI Agro's Total Inventories compare to competitors?
REI Agro's Total Inventories of $539 Mil can be compared against companies in the Consumer Packaged Goods industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Total Inventories for a Consumer Packaged Goods company?
A good Total Inventories depends on the Consumer Packaged Goods industry context. However, Total Inventories 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 Total Inventories mean?
A high Total Inventories can signal that a stock is expensive relative to its fundamentals. The total amount of inventory as recorded on a company's balance sheet. View historical data for REI Agro and its competitors. REI Agro's current Total Inventories is $539 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is REI Agro stock overvalued right now?
REI Agro (LSE:REA) has a current Total Inventories of $539 Mil. The current Total Inventories is $539 Mil. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Total Inventories calculated?
Total Inventories is calculated from a company's financial statements. For REI Agro (LSE:REA), the current Total Inventories is $539 Mil as of Mar. 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.

REI Agro Business Description

Address 58A/1, Sainik Farm, Saket, New Delhi, IND, 110062
REI Agro Ltd is engaged in processing basmati rice and market its products under the brand name Raindrops. The company operates in two business segments - the business of processing, trading, and marketing of agro products and generation of power through Wind farm generators. The products of the company are sold both in domestic and international markets.