Smith AO Corporation (AOS)
Days of inventory on hand (DOH)
| 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 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 5.89 | 5.70 | 5.84 | 5.97 | 6.29 | 5.93 | 5.99 | 6.13 | 6.02 | 6.03 | 6.49 | 6.37 | 6.57 | 7.85 | 8.11 | 8.14 | 8.23 | 8.01 | 7.90 | 7.92 | |
| DOH | days | 62.02 | 64.01 | 62.55 | 61.14 | 58.06 | 61.57 | 60.95 | 59.55 | 60.65 | 60.51 | 56.28 | 57.34 | 55.55 | 46.52 | 45.03 | 44.86 | 44.35 | 45.54 | 46.20 | 46.07 |
December 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 5.89
= 62.02
The days of inventory on hand (DOH) for Smith AO Corporation have fluctuated over the past several quarters. Initially, the company had around 46 days of inventory on hand, which remained relatively stable until September 30, 2021, when it decreased slightly to 45.54 days. However, there was a notable increase in DOH by the end of December 31, 2021, reaching 55.55 days.
The trend continued with an upward trajectory, reaching a peak of 64.01 days on September 30, 2024. This indicates that Smith AO Corporation was holding inventory for a longer period, which could signify potential inefficiencies in managing inventory levels or challenges in accurately forecasting demand.
The subsequent quarters showed a slight decrease in DOH, suggesting that the company may have made efforts to optimize its inventory management processes. However, the levels remained relatively high, indicating that further steps may be needed to streamline inventory turnover and minimize holding costs.
Overall, the increasing trend in DOH for Smith AO Corporation signals a need for closer monitoring and potential adjustments to enhance inventory control and operational efficiency.
Peer comparison
Dec 31, 2024