Air Products & Chemicals Inventory-to-Revenue Definition
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. Air Products & Chemicals's Average Total Inventories for the quarter that ended in Dec. 2023 was $681 Mil. Air Products & Chemicals's Revenue for the
three
months ended in Dec. 2023 was $2,997 Mil.
Air Products & Chemicals's Inventory-to-Revenue for the quarter that ended in Dec. 2023 was 0.23.
Air Products & Chemicals's Inventory-to-Revenue for the quarter that ended in Dec. 2023
increased
from Sep. 2023 (0.21) to Sep. 2023 (0.23)
An increase in Inventory-to-Revenue from one quarter to the next indicates that one of the following is happening:
1. investment in inventory is growing more rapidly than revenue
2. revenue are dropping
No matter which situation is causing the problem, an increase in the Inventory-to-Revenue may signal an oncoming cash flow problem.
Days Inventory indicates the number of days of goods in sales that a company has in the inventory.
Air Products & Chemicals's Days Inventory for the
three
months ended in Dec. 2023 was 30.04.
Inventory Turnover measures how fast the company turns over its inventory within a year.
Air Products & Chemicals's Inventory Turnover for the quarter that ended in Dec. 2023 was 3.04.
Air Products & Chemicals Inventory-to-Revenue Historical Data
The historical data trend for Air Products & Chemicals's Inventory-to-Revenue 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.
For the Specialty Chemicals subindustry, Air Products & Chemicals's Inventory-to-Revenue, along with its competitors' market caps and Inventory-to-Revenue data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Air Products & Chemicals Inventory-to-Revenue Distribution
For the Chemicals industry and Basic Materials sector, Air Products & Chemicals's Inventory-to-Revenue distribution charts can be found below:
* The bar in red indicates where Air Products & Chemicals's Inventory-to-Revenue falls into.
Air Products & Chemicals Inventory-to-Revenue Calculation
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.
Air Products & Chemicals's Inventory-to-Revenue for the fiscal year that ended in Sep. 2023 is calculated as
* 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.
Air Products & Chemicals (NYSE:APD) Inventory-to-Revenue Explanation
An increase in Inventory-to-Revenue from one quarter to the next indicates that one of the following is happening:
1. investment in inventory is growing more rapidly than revenue
2. revenue are dropping
No matter which situation is causing the problem, an increase in the Inventory-to-Revenue may signal an oncoming cash flow problem.
Likewise, a decrease in the Inventory-to-Revenue from one quarter to next indicates that one of these is occurring:
1. investment in inventory is shrinking in relation to revenue
2. revenue are increasing
No matter which situation is causing the reduction in the Inventory-to-Revenue, either one suggests that business's inventory levels and its cash flow are effectively managed.
More Related Terms:
1. Days Inventory indicates the number of days of goods in sales that a company has in the inventory.
Air Products & Chemicals's Days Inventory for the
three
months ended in Dec. 2023 is calculated as:
* 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.
Air Products & Chemicals Inventory-to-Revenue Related Terms
Thank you for viewing the detailed overview of Air Products & Chemicals's Inventory-to-Revenue provided by GuruFocus.com. Please click on the following links to see related term pages.
Air Products & Chemicals (Air Products & Chemicals) Business Description
Since its founding in 1940, Air Products has become one of the leading industrial gas suppliers globally, with operations in 50 countries and 19,000 employees. The company is the largest supplier of hydrogen and helium in the world. It has a unique portfolio serving customers in a number of industries, including chemicals, energy, healthcare, metals, and electronics. Air Products generated $12.6 billion in revenue in fiscal 2023.
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