Air Products and Chemicals Inc (APD)
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 | 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 | 15.46 | 14.89 | 15.08 | |
| DOH | days | 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 | 23.60 | 24.51 | 24.20 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 13.96
= 26.14
The days of inventory on hand (DOH) for Air Products & Chemicals Inc. have displayed a varying trend over the past eight quarters. In Q1 2024, the DOH stood at 30.01 days, which represents an increase from the previous quarter's DOH of 26.93 days in Q4 2023.
Looking at the trend over the past two years, we see a general upward trend in the DOH, indicating a potential increase in the number of days it takes the company to sell its inventory. This could suggest potential inventory management challenges or a build-up of excess inventory.
Comparing the current DOH to the same quarter in the previous year, we observe an increase from 24.70 days in Q1 2023 to 30.01 days in Q1 2024. This substantial increase may warrant further investigation into the reasons behind the extended inventory holding period.
Overall, the increasing trend in Air Products & Chemicals Inc.'s DOH over the past several quarters highlights a potential inefficiency in inventory management that could impact the company's working capital and cash flow. Further analysis and monitoring of the DOH trend are recommended to assess the company's inventory management practices and efficiency.
Peer comparison
Dec 31, 2023
See also:
Air Products and Chemicals Inc Average Inventory Processing Period (Quarterly Data)