Adient PLC (ADNT)

Days of inventory on hand (DOH)

		Sep 30, 2024	Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020
Inventory turnover		18.15	17.08	13.97	13.17	17.63
DOH	days	20.11	21.37	26.13	27.71	20.70

September 30, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 18.15
= 20.11

The days of inventory on hand (DOH) for Adient PLC have shown a fluctuating trend over the past five years. In the most recent year, as of September 30, 2024, the company held inventory for an average of 20.11 days, which was a slight improvement compared to the prior year's DOH of 21.37 days. This decrease in DOH suggests that Adient was able to manage its inventory more efficiently during the current period.

Looking further back, the DOH figures for Adient indicate a gradual improvement in inventory management over the past five years. In 2020, the DOH was at 20.70 days, and it increased to 27.71 days in 2021 before declining again in subsequent years. This pattern suggests that Adient has been working on optimizing its inventory levels and turnover rate.

Overall, the decreasing trend in DOH for Adient PLC reflects a positive development in managing its inventory effectively. However, it is essential for the company to continue monitoring and improving its inventory management practices to ensure efficient operations and cost control. Tracking inventory turnover and working capital requirements can help Adient sustain this positive momentum in the future.