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Aarti Surfactants (BOM:543210) Inventory Turnover : 1.23 (As of Mar. 2024)


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What is Aarti Surfactants Inventory Turnover?

Inventory Turnover measures how fast the company turns over its inventory within a year. It is calculated as Cost of Goods Sold divided by Total Inventories. Aarti Surfactants's Cost of Goods Sold for the three months ended in Mar. 2024 was ₹1,223 Mil. Aarti Surfactants's Average Total Inventories for the quarter that ended in Mar. 2024 was ₹992 Mil. Aarti Surfactants's Inventory Turnover for the quarter that ended in Mar. 2024 was 1.23.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Aarti Surfactants's Days Inventory for the three months ended in Mar. 2024 was 74.02.

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. Aarti Surfactants's Inventory-to-Revenue for the quarter that ended in Mar. 2024 was 0.63.


Aarti Surfactants Inventory Turnover Historical Data

The historical data trend for Aarti Surfactants's Inventory Turnover 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.

Aarti Surfactants Inventory Turnover Chart

Aarti Surfactants Annual Data
Trend Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Inventory Turnover
Get a 7-Day Free Trial 5.14 6.00 6.63 6.24 5.06

Aarti Surfactants Quarterly Data
Mar19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Inventory Turnover 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 1.60 1.48 1.14 1.09 1.23

Aarti Surfactants Inventory Turnover Calculation

Aarti Surfactants's Inventory Turnover for the fiscal year that ended in Mar. 2024 is calculated as

Inventory Turnover (A: Mar. 2024 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Mar. 2024 ) / ((Total Inventories (A: Mar. 2023 ) + Total Inventories (A: Mar. 2024 )) / count )
=4465.522 / ((773.263 + 992.077) / 2 )
=4465.522 / 882.67
=5.06

Aarti Surfactants's Inventory Turnover for the quarter that ended in Mar. 2024 is calculated as

Inventory Turnover (Q: Mar. 2024 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Mar. 2024 ) / ((Total Inventories (Q: Dec. 2023 ) + Total Inventories (Q: Mar. 2024 )) / count )
=1223.034 / ((0 + 992.077) / 1 )
=1223.034 / 992.077
=1.23

* 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.


Aarti Surfactants  (BOM:543210) Inventory Turnover Explanation

Inventory Turnover measures how fast the company turns over its inventory within a year. A higher Inventory Turnover means the company has light inventory. Therefore the company spends less money on storage, write downs, and obsolete inventory. If the inventory is too light, it may affect sales because the company may not have enough to meet demand.

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

Aarti Surfactants's Days Inventory for the three months ended in Mar. 2024 is calculated as:

Days Inventory =Average Total Inventories (Q: Mar. 2024 )/Cost of Goods Sold (Q: Mar. 2024 )*Days in Period
=992.077/1223.034*365 / 4
=74.02

2. 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.

Aarti Surfactants's Inventory to Revenue for the quarter that ended in Mar. 2024 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Mar. 2024 ) / Revenue (Q: Mar. 2024 )
=992.077 / 1585.491
=0.63

* 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

Usually retailers pile up their inventories at holiday seasons to meet the stronger demand. Therefore, the inventory of a particular quarter of a year should not be used to calculate Inventory Turnover. An average inventory is a better indication.


Aarti Surfactants Inventory Turnover Related Terms

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Aarti Surfactants (BOM:543210) Business Description

Traded in Other Exchanges
Address
Mulund-Goregaon Link Road, 2nd Floor, Unit 202, Plot 71, Udyog Kshetra, L.B.S. Marg, Mulund (West), Mumbai, MH, IND, 400 080
Aarti Surfactants Ltd is the producer of ionic and non-ionic surfactants and specialty products, serving Home and Personal Care, Industrial Applications, and the Agro and Oil industries. The company's product portfolio includes Surfactants, Mild surfactants, Rheology modifiers, Pearlising agents, UV filters, Syndet and soap bases, and Active ingredients, as well as conditioning agents, blends, proteins, and quats. Geographically the group has a business presence in India and Outside India, of which a majority of its revenue is derived from India. The products of the group have application in consumer-centric personal care and home care products, including, inter alia, skin care, oral care, hair care, cosmetics, toiletries and detergent products.

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