ARM Cement (NAI:ARM) Total Inventories: KES1,146 Mil (As of Dec. 2017)

What is ARM Cement Total Inventories?

ARM Cement NAI:ARM Total Inventories is KES1,146 Mil as of Dec. 2017.

ARM Cement's total inventories for the quarter that ended in Dec. 2017 was KES1,146 Mil. ARM Cement's average total inventories from the quarter that ended in Jun. 2017 to the quarter that ended in Dec. 2017 was KES573 Mil.

In Ben Graham's calculation of Net-Net Working Capital, inventory is only considered worth half of its book value. ARM Cement's Net-Net Working Capital per share for the quarter that ended in Dec. 2017 was KES-20.45.

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

Inventory Turnover measures how fast the company turns over its inventory within a year. ARM Cement's Inventory Turnover for the quarter that ended in Dec. 2017 was 0.00.

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. ARM Cement's Inventory-to-Revenue for the quarter that ended in Dec. 2017 was 0.17.

ARM Cement (NAI:ARM) 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.

ARM Cement's Net-Net Working Capital Per Share for the quarter that ended in Dec. 2017 is

	Net-Net Working Capital Per Share (Q: Dec. 2017 )
=	(Cash And Cash Equivalents	+	0.75 * Accounts Receivable	+	0.5 * Total Inventories	-	Total Liabilities
-	Preferred Stock	-	Minority Interest)	/	Shares Outstanding (EOP)
=	(147.777	+	0.75 * 2062.2	+	0.5 * 1145.974	-	21883.543
-	0	-	16.526)	/	959.940
=	-20.45

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

ARM Cement's Days Inventory for the six months ended in Dec. 2017 is calculated as:

Days Inventory	=	Average Total Inventories (Q: Dec. 2017 )	/	Cost of Goods Sold (Q: Dec. 2017 )	*	Days in Period
	=	572.987	/	0	*	365 / 2
	=

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

ARM Cement's Inventory Turnover for the quarter that ended in Dec. 2017 is calculated as

Inventory Turnover	=	Cost of Goods Sold (Q: Dec. 2017 )	/	Average Total Inventories (Q: Dec. 2017 )
	=	0	/	572.987
	=	0.00

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.

ARM Cement's Inventory to Revenue for the quarter that ended in Dec. 2017 is calculated as

Inventory-to-Revenue	=	Average Total Inventories (Q: Dec. 2017 )	/	Revenue (Q: Dec. 2017 )
	=	572.987	/	3349.846
	=	0.17

* 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.

ARM Cement Total Inventories Related Terms

ARM Cement Total Inventories Historical Data

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The historical data trend for ARM Cement's Total Inventories can be seen below:

ARM Cement Total Inventories Chart

ARM Cement Annual Data

Trend

Dec08

Dec09

Dec10

Dec11

Dec12

Dec13

Dec14

Dec15

Dec16

Dec17

Total Inventories

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2,530.00

4,036.14

3,867.35

3,274.36

1,145.97

ARM Cement Semi-Annual Data
	Dec08	Dec09	Dec10	Dec11	Jun12	Dec12	Jun13	Dec13	Jun14	Dec14	Jun15	Dec15	Jun16	Dec16	Jun17	Dec17
Total Inventories	Get a 7-Day Free Trial											3,867.35	0.00	3,274.36	0.00	1,145.97

ARM Cement 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 KES1,146 Mil mean?

ARM Cement (NAI:ARM) has a Total Inventories of KES1,146 Mil as of Dec. 2017. The total amount of inventory as recorded on a company's balance sheet. View historical data for ARM Cement and its competitors.

Is ARM Cement's Total Inventories too high?

ARM Cement's current Total Inventories is KES1,146 Mil.

How does ARM Cement's Total Inventories compare to competitors?

ARM Cement's Total Inventories of KES1,146 Mil can be compared against companies in the Building Materials 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 Building Materials company?

A good Total Inventories depends on the Building Materials 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 ARM Cement and its competitors. ARM Cement's current Total Inventories is KES1,146 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is ARM Cement stock overvalued right now?

ARM Cement (NAI:ARM) has a current Total Inventories of KES1,146 Mil. The current Total Inventories is KES1,146 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 ARM Cement (NAI:ARM), the current Total Inventories is KES1,146 Mil as of Dec. 2017. 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.

ARM Cement Business Description

Industry Basic Materials Building Materials

Comparable Companies WAR:PBB JSE:MZR WAR:MAX BOM:502271 BOM:507894 BOM:523467 BOM:531049 BOM:523732 BOM:513528 XKLS:7143 BOM:534563 BOM:532823 WAR:MMA WAR:HOT WAR:KPC BOM:540072 BOM:515018 WAR:KBD OSTO:POLY WAR:RCA

Address The Westwood, Ring Road, 9th Floor, Westlands, Nairobi, KEN, 00100

Website http://www.armcement.com

ARM Cement PLC is a cement manufacturing company based in Kenya. The principal activities of the company and its subsidiaries are the manufacturing and selling of cement. In addition, the company is engaged in the mining and processing of industrial minerals and chemicals, trading in other building products and the sale of fertilisers. The company is organised into two principal operating division - Cement and Lime segment and Other Products. The company offers tiling cement, composite cement, portland cement, and clinker. The company predominantly carries out its operations in Kenya, Tanzania, South Africa and Rwanda. The majority of its revenue is derived from Kenya.