Air Products and Chemicals Inc (APD)
Days of inventory on hand (DOH)
| 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 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 12.06 | 12.37 | 13.13 | 13.96 | 15.50 | 11.55 | 12.17 | 11.83 | 14.52 | 18.81 | 17.98 | 17.86 | 17.80 | 16.49 | 15.58 | 14.68 | 14.47 | 14.07 | 14.77 | 14.77 | |
| DOH | days | 30.26 | 29.51 | 27.79 | 26.14 | 23.55 | 31.60 | 29.98 | 30.84 | 25.13 | 19.40 | 20.30 | 20.44 | 20.50 | 22.14 | 23.43 | 24.87 | 25.22 | 25.94 | 24.71 | 24.71 |
September 30, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 12.06
= 30.26
The days of inventory on hand (DOH) for Air Products and Chemicals Inc have exhibited fluctuations over the past years. The DOH has ranged from 19.40 days to 31.60 days, reflecting the variability in the company's inventory management practices.
From December 2019 to December 2020, there was a slight increase in DOH from 24.71 days to 25.22 days, indicating a slightly longer time taken to convert inventory into sales. Subsequently, from December 2020 to December 2021, there was a notable increase in DOH to 30.84 days, suggesting a significant buildup of inventory relative to sales.
However, from December 2021 to December 2022, there was a considerable improvement in inventory management as the DOH decreased to 20.44 days, signifying a more efficient conversion of inventory into sales. This positive trend continued through December 2023, with a further decrease to 26.14 days.
The most recent data shows that as of September 2024, the DOH stood at 30.26 days, representing a slight increase from the previous quarter. This may indicate a potential challenge in managing inventory levels efficiently.
Overall, Air Products and Chemicals Inc should continue monitoring and optimizing their inventory levels to strike a balance between having enough inventory to meet demand while minimizing carrying costs and improving cash flow.
Peer comparison
Sep 30, 2024
See also:
Air Products and Chemicals Inc Average Inventory Processing Period (Quarterly Data)