Arcosa Inc (ACA)
Days of inventory on hand (DOH)
| Dec 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 5.71 | 5.53 | 4.86 | 4.73 | 4.64 | 4.99 | 5.09 | 5.55 | 5.76 | 5.59 | 6.12 | 5.10 | 5.15 | 4.68 | 4.55 | 5.27 | 5.61 | 5.34 | 4.82 | 4.82 | |
| DOH | days | 63.93 | 66.02 | 75.07 | 77.18 | 78.67 | 73.08 | 71.65 | 65.76 | 63.33 | 65.31 | 59.69 | 71.60 | 70.92 | 77.97 | 80.16 | 69.32 | 65.03 | 68.37 | 75.70 | 75.69 |
December 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 5.71
= 63.93
The Days of Inventory on Hand (DOH) for Arcosa Inc has fluctuated over the periods analyzed. The trend indicates that the company was carrying inventory for around 75 days in March 2020, which decreased to 59.69 days by June 2022, before increasing again to 78.67 days by December 2023. For the most recent period analyzed in December 2024, the DOH stands at 63.93 days.
This variability in inventory turnover can suggest changes in the company's inventory management efficiency and sales trends. A lower DOH reflects better inventory turnover, indicating potential quicker sales or more efficient inventory management practices. Conversely, a higher DOH may signal excess inventory levels, which could tie up working capital and increase holding costs.
A thorough analysis of the factors driving these fluctuations in inventory turnover would be essential to understand the company's operational efficiency, liquidity, and potential risks related to inventory management.
Overall, monitoring the Days of Inventory on Hand is crucial for assessing Arcosa Inc's ability to manage inventory levels effectively and optimize working capital utilization.
Peer comparison
Dec 31, 2024