Tracking Financials
I track the financials of publicly traded companies in a number of industry groups on a routine basis to follow their inventory performance.

From the Income Statement, I capture:
  • Sales
  • Cost of Goods Sold
  • Gross Profit
and from the Balance Sheet:
  • Accounts Receivable
  • Inventory 
  • Accounts Payable.
From this data, I calculate: 
  • inventory turnover 
  • GP% 
  • GMROI 
  • Cash to Cash cycle.  

Here are graphs of this data for three companies in the same industry space.  I leave you to do your own analysis and draw your own conclusions.

Tracking Inventory Metrics - Company Comparison - Log Scale

Note: Using the log scale:
  • Allows large ranges of data to be shown on a single graph
  • The slope of the line reflects percentage changes to allow easy comparison.

NEW!!!                  JUST RELEASED!!!

Now its easier to track the financials for an organization using the Interactive Strategic Profit Model (SPM) spreadsheet tool which is now available at shop.inventorycurve.com.  Enter in financial information from the Balance Sheet and Income Statement and the spreadsheet computes and presents two versions of the SPM for an organization including inventory turnover, GP%,GMROI and the Cash to Cash Cycle calculation.  

A version of the Interactive Strategic Profit Model (SPM) spreadsheet tool for Nonprofits is also available.

If you have questions or would like to discuss how this method can be used within your organization to improve performance, please feel contact me at David.Armstrong@inventorycurve.com.


  ® Inventory Curve, LLC, Westminster, Colorado USA
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