Apple Inc (AAPL)
Days of inventory on hand (DOH)
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 32.45 | 37.97 | 37.39 | 36.42 | 37.76 | 32.97 | 32.62 | 36.06 | 50.27 | 44.90 | 44.41 | 40.57 | 35.71 | 43.66 | 41.45 | 40.30 | 46.66 | 47.47 | 55.49 | 45.10 | |
| DOH | days | 11.25 | 9.61 | 9.76 | 10.02 | 9.67 | 11.07 | 11.19 | 10.12 | 7.26 | 8.13 | 8.22 | 9.00 | 10.22 | 8.36 | 8.81 | 9.06 | 7.82 | 7.69 | 6.58 | 8.09 |
September 30, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 32.45
= 11.25
Days of Inventory on Hand (DOH) is a financial ratio that measures the number of days a company holds its inventory before it is sold. A lower DOH indicates that a company is more efficient in managing its inventory, as it suggests faster turnover and potentially lower carrying costs.
Analyzing Apple Inc's DOH over the past years, we can see some fluctuations in the ratio. There was a notable increase in DOH from the end of fiscal year 2019 to the end of fiscal year 2020, followed by an overall decreasing trend in the subsequent periods. This downward trend indicates that Apple has been able to optimize its inventory management, leading to quicker turnover of goods.
In the most recent period, the DOH stood at 11.25 days, slightly higher compared to the previous quarter, which was at 9.61 days. While the increase may suggest a slight slowdown in inventory turnover, it's important to consider industry benchmarks and seasonal variations in sales that can affect inventory levels.
Overall, Apple Inc's decreasing trend in DOH is a positive sign of efficient inventory management, which can contribute to improved cash flow and profitability. It will be important for the company to continue monitoring and optimizing its inventory levels to ensure optimal performance.
Peer comparison
Sep 30, 2024
See also:
Apple Inc Average Inventory Processing Period (Quarterly Data)