Formosa Chemicals & Fibre (TPE:1326) Inventory Turnover : 1.78 (As of Mar. 2024)

View and export this data going back to 1984. Start your Free Trial

What is Formosa Chemicals & Fibre 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. Formosa Chemicals & Fibre's Cost of Goods Sold for the three months ended in Mar. 2024 was NT$80,313 Mil. Formosa Chemicals & Fibre's Average Total Inventories for the quarter that ended in Mar. 2024 was NT$45,089 Mil. Formosa Chemicals & Fibre's Inventory Turnover for the quarter that ended in Mar. 2024 was 1.78.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Formosa Chemicals & Fibre's Days Inventory for the three months ended in Mar. 2024 was 51.23.

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. Formosa Chemicals & Fibre's Inventory-to-Revenue for the quarter that ended in Mar. 2024 was 0.54.

Formosa Chemicals & Fibre Inventory Turnover Historical Data

The historical data trend for Formosa Chemicals & Fibre'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.

Formosa Chemicals & Fibre Inventory Turnover Chart

Formosa Chemicals & Fibre Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Inventory Turnover

Get a 7-Day Free Trial

6.77

6.02

7.79

7.68

6.93

Formosa Chemicals & Fibre Quarterly Data
	Jun19	Sep19	Dec19	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															1.65	1.55	1.78	1.89	1.78

Formosa Chemicals & Fibre Inventory Turnover Calculation

Formosa Chemicals & Fibre'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 )
=	321195.091	/ (	(48437.39	+	44253.704)	/	2 )
=	321195.091	/	46345.547
=	6.93

Formosa Chemicals & Fibre'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 )
=	80312.877	/ (	(44253.704	+	45923.643)	/	2 )
=	80312.877	/	45088.6735
=	1.78

Formosa Chemicals & Fibre (TPE:1326) 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.

Formosa Chemicals & Fibre'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
	=	45088.6735	/	80312.877	*	365 / 4
	=	51.23

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.

Formosa Chemicals & Fibre'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 )
	=	45088.6735	/	83941.693
	=	0.54

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.

Formosa Chemicals & Fibre Inventory Turnover Related Terms

Thank you for viewing the detailed overview of Formosa Chemicals & Fibre's Inventory Turnover provided by GuruFocus.com. Please click on the following links to see related term pages.

Formosa Chemicals & Fibre (TPE:1326) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Basic Materials » Chemicals » Formosa Chemicals & Fibre Corp (TPE:1326) » Definitions » Inventory Turnover

Comparable Companies

Traded in Other Exchanges

N/A

Address

Dunhua North Road, Number 201, Songshan District, Taipei, TWN, 105

Website

https://www.fcfc.com.tw

Formosa Chemicals & Fibre Corp manufactures and sells a variety of chemicals, plastics-based products, and textiles. The Company has eight business divisions, namely First Chemical Division, Petrochemicals Division, Third Chemical Division, Plastics Division, Textile Division, First Fiber Division, Second Fiber Division, and Engineering & Construction Division. The Company's businesses are production and sales of petrochemical products, including PTA, PS, AN, Butadiene, SM polymer, SM, benzene, toluene, pxylene (PX) and o-xylene (OX), as well as nylon fiber, and rayon staple fiber. The Company is also engaged in spinning, weaving, dyeing and finishing.

Formosa Chemicals & Fibre (TPE:1326) Headlines

No Headlines