Agilysys Inc (AGYS)

Days of inventory on hand (DOH)

		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	Sep 30, 2019	Jun 30, 2019
Inventory turnover		48.63	31.60	27.75	23.37	19.13	17.69	18.09	23.06	22.99	54.18	94.61	142.15	138.19	145.41	90.57	76.95	56.89	68.67	128.62	79.17
DOH	days	7.51	11.55	13.15	15.62	19.08	20.64	20.18	15.83	15.87	6.74	3.86	2.57	2.64	2.51	4.03	4.74	6.42	5.32	2.84	4.61

March 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 48.63
= 7.51

The days of inventory on hand (DOH) for Agilysys Inc have fluctuated over the past few quarters. The DOH has been on an upward trend overall, indicating that the company is holding inventory for longer periods before selling it. This can tie up working capital and increase holding costs.

In the most recent quarter, as of March 31, 2024, the DOH stood at 7.51 days, showing an improvement from the previous quarter's 11.55 days. However, it is still higher compared to some of the earlier quarters, such as December 31, 2021, where the DOH was only 3.86 days.

The significant increase in DOH from March 31, 2021, when it was 2.64 days, to the current level highlights a potential inefficiency in managing inventory levels. The company may need to review its inventory management practices to optimize inventory turnover and reduce the days of inventory on hand, which could positively impact cash flows and profitability.