APA Corporation (APA)

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		13.04	9.95	10.02	8.73	8.94	9.35	8.97	9.63	11.29	9.90	9.78	8.23	9.40	8.69	7.96	7.23	7.17	7.54	8.70	9.80
DOH	days	27.99	36.68	36.43	41.82	40.81	39.02	40.69	37.90	32.34	36.88	37.30	44.35	38.84	42.02	45.83	50.48	50.87	48.40	41.97	37.24

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 13.04
= 27.99

The days of inventory on hand (DOH) for APA Corporation have fluctuated over the reviewed periods. The DOH ranged from a low of 27.99 days as of December 31, 2024, to a high of 50.87 days as of December 31, 2020.

The trend indicates an initial increase in DOH from March 31, 2020, to December 31, 2020, possibly suggesting a buildup of inventory during that period. Subsequently, there was a slight decrease in DOH up to June 30, 2021, followed by fluctuations between 36 and 50 days until March 31, 2023.

From March 31, 2023, there was a downward trend in DOH, indicating a potential improvement in inventory management efficiency as the DOH decreased to 27.99 days by December 31, 2024.

The decreasing trend in DOH since March 31, 2023, may reflect more efficient inventory turnover, which could lead to lower carrying costs and potentially frees up working capital for other uses. Understanding the drivers behind these fluctuations can provide insights into APA Corporation's inventory management strategies, supply chain efficiency, and overall operational performance.