GURUFOCUS.COM » STOCK LIST » Basic Materials » Chemicals » Vital Chemtech Ltd (NSE:VITAL) » Definitions » Inventory-to-Revenue

Vital Chemtech (NSE:VITAL) Inventory-to-Revenue : 0.22 (As of Sep. 2023)


View and export this data going back to 2022. Start your Free Trial

What is Vital Chemtech 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. Vital Chemtech's Average Total Inventories for the quarter that ended in Sep. 2023 was ₹111 Mil. Vital Chemtech's Revenue for the six months ended in Sep. 2023 was ₹498 Mil. Vital Chemtech's Inventory-to-Revenue for the quarter that ended in Sep. 2023 was 0.22.

Vital Chemtech's Inventory-to-Revenue for the quarter that ended in Sep. 2023 declined from Mar. 2023 (0.24) to Mar. 2023 (0.22)

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.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Vital Chemtech's Days Inventory for the six months ended in Sep. 2023 was 48.84.

Inventory Turnover measures how fast the company turns over its inventory within a year. Vital Chemtech's Inventory Turnover for the quarter that ended in Sep. 2023 was 3.74.


Vital Chemtech Inventory-to-Revenue Historical Data

The historical data trend for Vital Chemtech'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.

Vital Chemtech Inventory-to-Revenue Chart

Vital Chemtech Annual Data
Trend Mar20 Mar21 Mar22 Mar23
Inventory-to-Revenue
0.03 0.04 0.10 0.10

Vital Chemtech Semi-Annual Data
Mar20 Mar21 Mar22 Sep22 Mar23 Sep23
Inventory-to-Revenue Get a 7-Day Free Trial - - 0.15 0.24 0.22

Competitive Comparison of Vital Chemtech's Inventory-to-Revenue

For the Specialty Chemicals subindustry, Vital Chemtech'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.


Vital Chemtech's Inventory-to-Revenue Distribution in the Chemicals Industry

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

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



Vital Chemtech 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.

Vital Chemtech's Inventory-to-Revenue for the fiscal year that ended in Mar. 2023 is calculated as

Inventory-to-Revenue (A: Mar. 2023 )
=Average Total Inventories / Revenue
=( (Total Inventories (A: Mar. 2022 ) + Total Inventories (A: Mar. 2023 )) / count ) / Revenue (A: Mar. 2023 )
=( (90.547 + 134.663) / 2 ) / 1167.433
=112.605 / 1167.433
=0.10

Vital Chemtech's Inventory-to-Revenue for the quarter that ended in Sep. 2023 is calculated as

Inventory-to-Revenue (Q: Sep. 2023 )
=Average Total Inventories / Revenue
=( (Total Inventories (Q: Mar. 2023 ) + Total Inventories (Q: Sep. 2023 )) / count ) / Revenue (Q: Sep. 2023 )
=( (134.663 + 86.349) / 2 ) / 497.684
=110.506 / 497.684
=0.22

* 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.


Vital Chemtech  (NSE:VITAL) 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.

Vital Chemtech's Days Inventory for the six months ended in Sep. 2023 is calculated as:

Days Inventory=Average Total Inventories (Q: Sep. 2023 )/Cost of Goods Sold (Q: Sep. 2023 )*Days in Period
=110.506/412.9*365 / 2
=48.84

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

Vital Chemtech's Inventory Turnover for the quarter that ended in Sep. 2023 is calculated as

Inventory Turnover=Cost of Goods Sold (Q: Sep. 2023 ) / Average Total Inventories (Q: Sep. 2023 )
=412.9 / 110.506
=3.74

* 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.


Vital Chemtech Inventory-to-Revenue Related Terms

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


Vital Chemtech (NSE:VITAL) Business Description

Traded in Other Exchanges
N/A
Address
S. G. Highway, Opposite Karnavati Club, B-406, Mondeal Heights, Ahmedabad, GJ, IND, 380015
Vital Chemtech Ltd is engaged in the business of manufacturing, producing, refining, processing, formulating, mixing, enriching, mining, importing, exporting, acquiring, inventing, buying, selling, exchanging, distributing, and otherwise trading and dealing in all kinds of mixtures, formlations, intermediates, derivatives, compounds, phosphorous based chemicals, fine chemicals, heavy chemicals, valence, inorganic and organic chemicals, source materials, intermediates, ingredients, mixtures, derivatives and compounds. The company's Products include Phosphorus Derivatives, Industrial Chemicals, Specialty Chemicals & Intermediates, Organophosphates, Polymers & Dispersants, and Wellness Products.

Vital Chemtech (NSE:VITAL) Headlines

No Headlines