Applied Industrial Technologies (AIT)
Days of inventory on hand (DOH)
| Jun 30, 2025 | Mar 31, 2025 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 6.29 | 6.29 | 6.09 | 6.38 | 6.49 | 6.29 | 6.05 | 6.19 | 6.24 | 5.81 | 5.65 | 5.76 | 6.01 | 6.07 | 6.21 | 6.36 | 6.35 | 6.10 | 6.01 | 6.12 | |
| DOH | days | 58.00 | 58.04 | 59.89 | 57.25 | 56.24 | 58.01 | 60.30 | 59.00 | 58.52 | 62.83 | 64.59 | 63.37 | 60.72 | 60.14 | 58.78 | 57.37 | 57.52 | 59.86 | 60.78 | 59.67 |
June 30, 2025 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 6.29
= 58.00
The data indicates that Applied Industrial Technologies' days of inventory on hand (DOH) have exhibited relatively moderate fluctuations over the analyzed period from September 2020 through June 2025. At the outset, in September 2020, the DOH was approximately 59.67 days, which slightly increased to about 60.78 days by December 2020. Throughout 2021, the DOH remained relatively stable, averaging near 58 days, with a slight decline to approximately 57.37 days as of September 2021, followed by a modest increase to around 58.78 days by the end of the year.
In 2022, the DOH experienced a gradual upward trend, reaching around 60.14 days in March, and further extending to approximately 64.59 days by December. This suggests a trend toward increased inventory holding during the year, peaking at roughly 64.59 days at year-end. The subsequent period, early 2023, saw a slight decrease to approximately 62.83 days in March, with a notable decline to about 58.52 days by June, indicating a reduction in inventory levels during that period. The third quarter of 2023 recorded a DOH of around 59.00 days, with a modest increase to approximately 60.30 days by year's end.
Following this, the first half of 2024 demonstrated a downward trend, with DOH decreasing from 58.01 days in March to a low of roughly 56.24 days in June, and then slightly rising again through September to approximately 57.25 days. By December 2024, the DOH returned to nearly 59.89 days. The first quarter of 2025 saw a slight decline to about 58.04 days, with the subsequent quarter maintaining a stable level close to 58 days.
Overall, the company's DOH has oscillated within a range of approximately 56 to 65 days over the period, with periods of increase potentially reflecting inventory buildup or supply chain delays, and periods of decrease indicating inventory reduction efforts or improved inventory management. The general stability within this range suggests a consistent inventory management strategy aligned with industry practices, although specific peaks in late 2022 indicate episodes of elevated inventory levels that may warrant further investigation into supply chain or demand factors during that period.