Amkor Technology Inc (AMKR)

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		15.00	12.49	11.39	10.69	9.64	8.74	8.60	10.24	10.31	10.62	12.01	14.11	14.27	13.38	12.39	15.08	15.43	15.45	15.57	15.44
DOH	days	24.33	29.23	32.05	34.16	37.87	41.75	42.45	35.66	35.41	34.36	30.39	25.86	25.57	27.27	29.47	24.20	23.66	23.63	23.44	23.64

December 31, 2023 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 15.00
= 24.33

The days of inventory on hand (DOH) for AMKOR Technology Inc. have exhibited a declining trend over the past eight quarters. In Q4 2023, AMKOR had 25.81 days of inventory on hand, which is lower compared to the 30.83 days in Q3 2023 and the highest level of 44.32 days in Q2 2022. This decreasing trend indicates that the company is more efficient in managing its inventory levels.

The lower number of days of inventory on hand implies that AMKOR is selling its products faster or managing its inventory more effectively. It may indicate good demand for the company's products, effective inventory management policies, or timely production processes. However, despite the general downward trend, there was a slight increase in Q3 2023 compared to Q2 2023, which is worth monitoring to ensure it does not become a sustained trend.

AMKOR should continue to focus on optimizing inventory levels to avoid stockouts or excessive inventory holding costs. By effectively managing its inventory, the company can improve its cash flow, reduce carrying costs, and enhance overall operational efficiency.