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Nexeo Solutions (Nexeo Solutions) Inventory-to-Revenue : 0.37 (As of Dec. 2018)


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What is Nexeo Solutions Inventory-to-Revenue?

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. Nexeo Solutions's Average Total Inventories for the quarter that ended in Dec. 2018 was $350 Mil. Nexeo Solutions's Revenue for the three months ended in Dec. 2018 was $936 Mil. Nexeo Solutions's Inventory-to-Revenue for the quarter that ended in Dec. 2018 was 0.37.

Nexeo Solutions's Inventory-to-Revenue for the quarter that ended in Dec. 2018 increased from Sep. 2018 (0.34) to Sep. 2018 (0.37)

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. Nexeo Solutions's Days Inventory for the three months ended in Dec. 2018 was 38.11.

Inventory Turnover measures how fast the company turns over its inventory within a year. Nexeo Solutions's Inventory Turnover for the quarter that ended in Dec. 2018 was 2.39.


Nexeo Solutions Inventory-to-Revenue Historical Data

The historical data trend for Nexeo Solutions'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.

* Premium members only.

Nexeo Solutions Inventory-to-Revenue Chart

Nexeo Solutions Annual Data
Trend Dec14 Dec15 Sep16 Sep17 Sep18
Inventory-to-Revenue
- - 0.30 0.09 0.08

Nexeo Solutions Quarterly Data
Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18
Inventory-to-Revenue 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 0.37 0.36 0.35 0.34 0.37

Competitive Comparison of Nexeo Solutions's Inventory-to-Revenue

For the Chemicals subindustry, Nexeo Solutions'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.


Nexeo Solutions's Inventory-to-Revenue Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, Nexeo Solutions's Inventory-to-Revenue distribution charts can be found below:

* The bar in red indicates where Nexeo Solutions's Inventory-to-Revenue falls into.



Nexeo Solutions 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.

Nexeo Solutions's Inventory-to-Revenue for the fiscal year that ended in Sep. 2018 is calculated as

Inventory-to-Revenue (A: Sep. 2018 )
=Average Total Inventories / Revenue
=( (Total Inventories (A: Sep. 2017 ) + Total Inventories (A: Sep. 2018 )) / count ) / Revenue (A: Sep. 2018 )
=( (315.5 + 338.8) / 2 ) / 4034.2
=327.15 / 4034.2
=0.08

Nexeo Solutions's Inventory-to-Revenue for the quarter that ended in Dec. 2018 is calculated as

Inventory-to-Revenue (Q: Dec. 2018 )
=Average Total Inventories / Revenue
=( (Total Inventories (Q: Sep. 2018 ) + Total Inventories (Q: Dec. 2018 )) / count ) / Revenue (Q: Dec. 2018 )
=( (338.8 + 360.5) / 2 ) / 935.8
=349.65 / 935.8
=0.37

* 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.


Nexeo Solutions  (NAS:NXEO) 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.

Nexeo Solutions's Days Inventory for the three months ended in Dec. 2018 is calculated as:

Days Inventory=Average Total Inventories (Q: Dec. 2018 )/Cost of Goods Sold (Q: Dec. 2018 )*Days in Period
=349.65/837.1*365 / 4
=38.11

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

Nexeo Solutions's Inventory Turnover for the quarter that ended in Dec. 2018 is calculated as

Inventory Turnover=Cost of Goods Sold (Q: Dec. 2018 ) / Average Total Inventories (Q: Dec. 2018 )
=837.1 / 349.65
=2.39

* 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.


Nexeo Solutions Inventory-to-Revenue Related Terms

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Nexeo Solutions (Nexeo Solutions) Business Description

Traded in Other Exchanges
N/A
Address
Nexeo Solutions Inc distributes chemicals and plastic products across North America and Asia. The company operates its business through three segments that are; Chemicals, Plastics, and Environmental Services. The firm through its operating segments distributes specialty and industrial chemicals, additives and solvents to industrial users, commodity polymer products and prime engineering resins to companies engaged in plastics processing. Nexeo also provides its customers with on-site and off-site hazardous and non-hazardous waste collection, recovery and arrangement for disposal services or recycling. It generates the majority of the revenues from the sale of chemicals and plastic materials.
Executives
James G Coulter 10 percent owner, other: Former 10% Owner 301 COMMERCE STREET, SUITE 3300, FORT WORTH TX 76102
Thomas E Zacharias director C/O W P CAREY & CO LLC, 50 ROCKEFELLER PLAZA, NEW YORK NY 10020
Brian Herington officer: Executive VP, Chemicals 3 WATERWAY SQUARE PLACE, SUITE 1000, THE WOODLANDS TX 77380
Steven T Romick 10 percent owner 11400 W OLYMPIC BLVD, STE 1200, LOS ANGELES CA 90064
Mark Landecker 10 percent owner 11400 W. OLYMPIC BLVD., STE. 1200, LOS ANGELES CA 90064
J Richard Atwood 10 percent owner
Brian A. Selmo 10 percent owner 11400 W. OLYMPIC BLVD., STE. 1200, LOS ANGELES CA 90064
Gabriela Garcia officer: Controller 1301 RIVERPLACE BOULEVARD, SUITE 2300, JACKSONVILLE FL 32207
David A. Bradley director, officer: President & CEO 15710 JOHN F. KENNDEY BLVD, SUITE 300, HOUSTON TX 77032
Dan F Smith director 1221 MCKINNEY STREET, SUITE 700, HOUSTON TX 77010
Kenneth Michael Burke director 11742 RIVERVIEW DRIVE, HOUSTON TX 77007
Ross Crane officer: EVP & CFO 3 WATERWAY SQUARE PLACE, SUITE 1000, THE WOODLANDS TX 77380
Tpg Advisors Vi, Inc. other: Former 10% Owner 301 COMMERCE STREET, SUITE 3300, FORT WORTH TX 76102
Tpg Group Holdings (sbs) Advisors, Inc. other: Former 10% Owner C/O TPG GLOBAL, LLC, 301 COMMERCE STREET, SUITE 3300, FORT WORTH TX 76102
David Bonderman other: Former 10% Owner 301 COMMERCE STREET, SUITE 3300, FORT WORTH TX 76102

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