GMS (GMS) Inventory-to-Revenue : 0.45 (As of Jan. 2024)

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What is GMS 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. GMS's Average Total Inventories for the quarter that ended in Jan. 2024 was $571 Mil. GMS's Revenue for the three months ended in Jan. 2024 was $1,258 Mil. GMS's Inventory-to-Revenue for the quarter that ended in Jan. 2024 was 0.45.

GMS's Inventory-to-Revenue for the quarter that ended in Jan. 2024 increased from Oct. 2023 (0.40) to Oct. 2023 (0.45)

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. GMS's Days Inventory for the three months ended in Jan. 2024 was 61.76.

Inventory Turnover measures how fast the company turns over its inventory within a year. GMS's Inventory Turnover for the quarter that ended in Jan. 2024 was 1.48.

GMS Inventory-to-Revenue Historical Data

The historical data trend for GMS'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.

GMS Inventory-to-Revenue Chart

GMS Annual Data

Trend

Apr14

Apr15

Apr16

Apr17

Apr18

Apr19

Apr20

Apr21

Apr22

Apr23

Inventory-to-Revenue

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0.09

0.10

0.11

GMS Quarterly Data
	Apr19	Jul19	Oct19	Jan20	Apr20	Jul20	Oct20	Jan21	Apr21	Jul21	Oct21	Jan22	Apr22	Jul22	Oct22	Jan23	Apr23	Jul23	Oct23	Jan24
Inventory-to-Revenue	Get a 7-Day Free Trial															0.47	0.45	0.41	0.40	0.45

Competitive Comparison of GMS's Inventory-to-Revenue

For the Building Products & Equipment subindustry, GMS'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.

GMS's Inventory-to-Revenue Distribution in the Construction Industry

For the Construction industry and Industrials sector, GMS's Inventory-to-Revenue distribution charts can be found below:

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

GMS Inventory-to-Revenue Calculation

GMS's Inventory-to-Revenue for the fiscal year that ended in Apr. 2023 is calculated as

	Inventory-to-Revenue (A: Apr. 2023 )
=	Average Total Inventories					/	Revenue
=	( (Total Inventories (A: Apr. 2022 )	+	Total Inventories (A: Apr. 2023 ))	/	count )	/	Revenue (A: Apr. 2023 )
=	( (550.953	+	575.495)	/	2 )	/	5329.252
=	563.224					/	5329.252
=	0.11

GMS's Inventory-to-Revenue for the quarter that ended in Jan. 2024 is calculated as

	Inventory-to-Revenue (Q: Jan. 2024 )
=	Average Total Inventories					/	Revenue
=	( (Total Inventories (Q: Oct. 2023 )	+	Total Inventories (Q: Jan. 2024 ))	/	count )	/	Revenue (Q: Jan. 2024 )
=	( (559.449	+	582.613)	/	2 )	/	1258.348
=	571.031					/	1258.348
=	0.45

GMS (NYSE:GMS) Inventory-to-Revenue Explanation

An increase in Inventory-to-Revenue from one quarter to the next indicates that one of the following is happening:

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.

GMS's Days Inventory for the three months ended in Jan. 2024 is calculated as:

Days Inventory	=	Average Total Inventories (Q: Jan. 2024 )	/	Cost of Goods Sold (Q: Jan. 2024 )	*	Days in Period
	=	571.031	/	843.628	*	365 / 4
	=	61.76

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

GMS's Inventory Turnover for the quarter that ended in Jan. 2024 is calculated as

Inventory Turnover	=	Cost of Goods Sold (Q: Jan. 2024 )	/	Average Total Inventories (Q: Jan. 2024 )
	=	843.628	/	571.031
	=	1.48

GMS Inventory-to-Revenue Related Terms

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GMS (GMS) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Industrials » Construction » GMS Inc (NYSE:GMS) » Definitions » Inventory-to-Revenue

Comparable Companies

Traded in Other Exchanges

CLG:Germany

Address

100 Crescent Centre Parkway, Suite 800, Tucker, GA, USA, 30084

Website

https://www.gms.com

GMS Inc is a distributor of specialty building products including wallboard, suspended ceilings systems, or ceilings, steel framing, and other complementary building products. The company serves its products to commercial new construction, commercial repair and remodel, residential new construction, and residential repair and remodel (R&R). Its geographical segment is Central, Midwest, Northeast, Southern, Southeast, Western, and Canada. The company generates maximum revenue from Wallboard products and geographically from the United States.

Executives

George T Hendren	officer: Chief Operating Officer	100 CRESCENT CENTRE PARKWAY, SUITE 800, TUCKER GA 30084
Craig D Apolinsky	officer: VP, GC & Corporate Secretary	GMS INC., 100 CRESCENT CENTRE PARKWAY, SUITE 800, TUCKER GA 30084
J David Smith	director	GMS INC., 100 CRESCENT CENTRE PARKWAY, SUITE 800, TUCKER GA 30084
John J Gavin	director	GMS INC., 100 CRESCENT CENTRE PARKWAY, SUITE 800, TUCKER GA 30084
William Forrest Bell	officer: Chief Accounting Officer	1001 SUMMIT BLVD, NE, ATLANTA GA 30319
Scott M Deakin	officer: VP, Chief Financial Officer	123 MAIN STREET, BRISTOL CT 06011-2185
Coliseum Capital Management, Llc	10 percent owner	105 ROWAYTON AVENUE, ROWAYTON CT 06853
Theron I Gilliam	director	GMS INC., 100 CRESCENT CENTRE PARKWAY, SUITE 800, TUCKER GA 30084
Turner John C Jr	officer: President	1009 WIMBERLY COURT, ALLEN TX 75013-1195
Peter C Browning	director	GMS INC., 100 CRESCENT CENTRE PARKWAY, SUITE 800, TUCKER GA 30084
Leigh R Dobbs	officer: Chief Human Resources Officer	100 CRESCENT CENTRE PARKWAY, SUITE 800, TUCKER GA 30084
Coliseum Capital Co-invest Iii, L.p.	10 percent owner	105 ROWAYTON AVENUE, ROWAYTON CT 06853
Adam Gray	10 percent owner	105 ROWAYTON AVENUE, ROWAYTON CT 06853
Christopher S Shackelton	10 percent owner	105 ROWAYTON AVENUE, ROWAYTON CT 06853
Coliseum Capital, Llc	10 percent owner	105 ROWAYTON AVENUE, ROWAYTON CT 06853