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Focusrite (LSE:TUNE) Inventory-to-Revenue : 0.72 (As of Feb. 2024)


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What is Focusrite 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. Focusrite's Average Total Inventories for the quarter that ended in Feb. 2024 was £55.3 Mil. Focusrite's Revenue for the six months ended in Feb. 2024 was £76.9 Mil. Focusrite's Inventory-to-Revenue for the quarter that ended in Feb. 2024 was 0.72.

Focusrite's Inventory-to-Revenue for the quarter that ended in Feb. 2024 increased from Aug. 2023 (0.57) to Aug. 2023 (0.72)

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. Focusrite's Days Inventory for the six months ended in Feb. 2024 was 242.02.

Inventory Turnover measures how fast the company turns over its inventory within a year. Focusrite's Inventory Turnover for the quarter that ended in Feb. 2024 was 0.75.


Focusrite Inventory-to-Revenue Historical Data

The historical data trend for Focusrite'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.

Focusrite Inventory-to-Revenue Chart

Focusrite Annual Data
Trend Aug14 Aug15 Aug16 Aug17 Aug18 Aug19 Aug20 Aug21 Aug22 Aug23
Inventory-to-Revenue
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.16 0.13 0.12 0.19 0.29

Focusrite Semi-Annual Data
Aug14 Feb15 Aug15 Feb16 Aug16 Feb17 Aug17 Feb18 Aug18 Feb19 Aug19 Feb20 Aug20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23 Feb24
Inventory-to-Revenue 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 0.25 0.41 0.57 0.57 0.72

Competitive Comparison of Focusrite's Inventory-to-Revenue

For the Leisure subindustry, Focusrite'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.


Focusrite's Inventory-to-Revenue Distribution in the Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, Focusrite's Inventory-to-Revenue distribution charts can be found below:

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



Focusrite 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.

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

Inventory-to-Revenue (A: Aug. 2023 )
=Average Total Inventories / Revenue
=( (Total Inventories (A: Aug. 2022 ) + Total Inventories (A: Aug. 2023 )) / count ) / Revenue (A: Aug. 2023 )
=( (48.34 + 55.256) / 2 ) / 178.465
=51.798 / 178.465
=0.29

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

Inventory-to-Revenue (Q: Feb. 2024 )
=Average Total Inventories / Revenue
=( (Total Inventories (Q: Aug. 2023 ) + Total Inventories (Q: Feb. 2024 )) / count ) / Revenue (Q: Feb. 2024 )
=( (55.256 + 55.298) / 2 ) / 76.884
=55.277 / 76.884
=0.72

* 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.


Focusrite  (LSE:TUNE) 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.

Focusrite's Days Inventory for the six months ended in Feb. 2024 is calculated as:

Days Inventory=Average Total Inventories (Q: Feb. 2024 )/Cost of Goods Sold (Q: Feb. 2024 )*Days in Period
=55.277/41.683*365 / 2
=242.02

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

Focusrite's Inventory Turnover for the quarter that ended in Feb. 2024 is calculated as

Inventory Turnover=Cost of Goods Sold (Q: Feb. 2024 ) / Average Total Inventories (Q: Feb. 2024 )
=41.683 / 55.277
=0.75

* 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.


Focusrite Inventory-to-Revenue Related Terms

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Focusrite (LSE:TUNE) Business Description

Traded in Other Exchanges
Address
Hillbottom Road, Artisan, High Wycombe, Buckinghamshire, GBR, HP12 4HJ
Focusrite PLC is a music and audio products company supplying hardware and software products used by professional and amateur musicians. The company's operating segment includes Focusrite, Novation, ADAM Audio, Martin Audio, Sequential, and Sonox. It generates maximum revenue from the Focusrite segment. Focusrite segment includes sales of Focusrite and Focusrite Pro branded products. Geographically, majority of its revenue is generated from North America.

Focusrite (LSE:TUNE) Headlines