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Fevertree Drinks (LSE:FEVR) Inventory Turnover : 1.75 (As of Dec. 2023)


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What is Fevertree Drinks 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. Fevertree Drinks's Cost of Goods Sold for the six months ended in Dec. 2023 was £125.6 Mil. Fevertree Drinks's Average Total Inventories for the quarter that ended in Dec. 2023 was £71.6 Mil. Fevertree Drinks's Inventory Turnover for the quarter that ended in Dec. 2023 was 1.75.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Fevertree Drinks's Days Inventory for the six months ended in Dec. 2023 was 104.04.

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. Fevertree Drinks's Inventory-to-Revenue for the quarter that ended in Dec. 2023 was 0.38.

Fevertree Drinks Inventory Turnover Historical Data

The historical data trend for Fevertree Drinks'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.

Fevertree Drinks Inventory Turnover Chart

Fevertree Drinks Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Inventory Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.25 4.56 4.81 4.68 3.87

Fevertree Drinks Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
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 Premium Member Only Premium Member Only 2.40 2.25 2.20 1.80 1.75

Fevertree Drinks Inventory Turnover Calculation

Fevertree Drinks's Inventory Turnover for the fiscal year that ended in Dec. 2023 is calculated as

Inventory Turnover (A: Dec. 2023 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Dec. 2023 ) / ((Total Inventories (A: Dec. 2022 ) + Total Inventories (A: Dec. 2023 )) / count )
=247.4 / ((60.1 + 67.6) / 2 )
=247.4 / 63.85
=3.87

Fevertree Drinks's Inventory Turnover for the quarter that ended in Dec. 2023 is calculated as

Inventory Turnover (Q: Dec. 2023 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Dec. 2023 ) / ((Total Inventories (Q: Jun. 2023 ) + Total Inventories (Q: Dec. 2023 )) / count )
=125.6 / ((75.6 + 67.6) / 2 )
=125.6 / 71.6
=1.75

* 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.

Fevertree Drinks  (LSE:FEVR) 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.

Fevertree Drinks's Days Inventory for the six months ended in Dec. 2023 is calculated as:

Days Inventory =Average Total Inventories (Q: Dec. 2023 )/Cost of Goods Sold (Q: Dec. 2023 )*Days in Period
=71.6/125.6*365 / 2
=104.04

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.

Fevertree Drinks's Inventory to Revenue for the quarter that ended in Dec. 2023 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=71.6 / 188.8
=0.38

* 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.

Fevertree Drinks Inventory Turnover Related Terms

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Fevertree Drinks (LSE:FEVR) Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Beverages - Non-Alcoholic » Fevertree Drinks PLC (LSE:FEVR) » Definitions » Inventory Turnover
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Address
186-188 Shepherds Bush Road, London, GBR, W6 7NL
Website
https://www.fever-tree.com
Fevertree Drinks PLC is a UK based holding and investment company. The company is engaged in the business activity of developing and marketing premium mixer drinks. Its product portfolio includes Indian tonic water, Mediterranean tonic water, Elderflower tonic water, Aromatic tonic water, Clementine tonic water, Lemon tonic water, Ginger beer, Ginger ale, Smoky ginger ale, Spiced orange ginger ale, Madagascan cola, Sicilian lemonade, Lemonade, Premium Soda Water and Mediterranean Orange. The company operates in the UK, USA, Europe, and other countries, of which most of the revenue is from the United Kingdom.