Amgen Inc (AMGN)

Days of inventory on hand (DOH)

		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	Mar 31, 2019
Inventory turnover		1.88	3.07	3.02	2.93	2.92	2.99	3.14	3.29	3.54	3.02	2.64	2.23	1.89	1.78	1.68	1.62	1.54	1.63	1.70	1.82
DOH	days	194.11	118.99	120.83	124.75	124.82	121.95	116.31	111.05	103.07	121.01	138.46	163.62	193.51	205.11	217.47	225.19	237.24	224.61	215.03	200.66

December 31, 2023 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 1.88
= 194.11

To analyze AMGEN Inc.'s days of inventory on hand (DOH) over the past eight quarters, we observe a fluctuating trend. In Q1 2022, the DOH stood at 246.75 days, increasing to 259.80 days in Q2 2022, and further rising to 272.28 days in Q3 2022. However, in Q4 2022, there was a slight decrease to 280.90 days. Subsequently, Q1 2023 saw a notable increase to 278.60 days, followed by a further rise in Q2 2023 to 264.56 days. Interestingly, in Q3 2023, there was a significant decrease to 258.89 days, and in Q4 2023, the DOH spiked to 411.08 days, which could signify a potential issue with managing inventory efficiency.

Overall, the DOH has demonstrated some variability over the quarters, which may suggest fluctuations in inventory management practices, demand forecasting accuracy, or production efficiency. AMGEN Inc. should closely monitor its inventory levels to ensure optimal working capital management and operational effectiveness.