Inventory days as you know means the number of days of raw materials you have in your storehouse. Screener.in gives you % of raw materials in costs of goods. So you know for a full year how much inventory was used. If the plant operates 366 days, you know what the day’s material usage is likely to be. Then you just divide the inventory in your storehouse to get how many days of inventory is left. Sometimes when a new plant is installed, these ratios might not be comparable from one period to next. Likewise during planned downtime, maintenance etc if they are not on yearly schedules
B. Many investors like to see what the cost of operating the business is. Clubbing together both interest received and interest paid might not show the correct value in case the company has to use the funds for expansion and they might not have access to investment funds.
Both formulae are same. Just imagie that ‘Raw material cost’ means COGS.
‘finance cost’ and ‘interest income’ represent accrued amounts - amounts of money that have been earned or spent for relevant accounting period, but not yet paid whereas ‘interest paid’ and ‘interest recieved’ represent actual paid amounts.
Basic question on Company CAPEX - When I look at the cash flow statement there are two component Fixed asset purchased and Investment purchased. I am trying to understand what is CAPEX for the year should consider only Fixed asset purchase or we should add fixed assets purchased and investment?
You should only look at the Fixed Asset purchased i.e. the line item called PPE in the cash flow statement. This item will also approximately match with the additions during the year to Gross Block in the Fixed Assets schedule. Investments are usually deployment of surplus cash in liquid funds, bank deposits etc. which is not capex. But sometimes there is a separate line item for long term strategic investments such as acquisitions made during the year. Qualitatively this also should be considered as capex.
These trades happen to benefit from the gain from the difference between purchase and sold price which is in decimals but with large quantities of shares. Although it looks like this is a loss making trade. Bought at 136.37, sold at 136.02.
The stock is Geekay Wires, if anyone wants to know.
Thanks. So the lesson learnt is, for small caps such trades can skew the volume leading to false impression of big player coming in. And not all volume spikes are meaningful.
Volume growth will be usually mentioned in company quarterly presentation. During quarterly con call (if they are conducting)company mangement gives answer about volume growth by analyst. You can find concall audio recording on youtube channels( like trendlyn,alpha street) and concall transcript will be available on company website. If company is not conducting concall ,usually each year annual report will have data on volume growth.
is it mandatory for the companies to share volume growth related data with the shareholders?
in which portion of annual report, is volume growth related info mentioned? please help me. i face difficulty finding such kinds of data
If I have to calculate how much of net profit is being reinvested in the business (year-on-year) then how do I do that looking at BS, CF and income statement. Thanks in advance
Reserves get invested in either ‘operational’ or ‘financial’ assets.
Since your aim is to find the amount invested in the operational assets, you should minus both Investments (in financial products) and Cash Equivalents from the Reserves to arrive at the net profit reinvested in the business (year-on-year).
There is no regulatory requirement to report margins at product level. The best place will be investor presentation where some companies might share such information by different lines of business/product category.
