Arlo Technologies (ARLO)
Days of inventory on hand (DOH)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 7.96 | 8.43 | 7.61 | 8.52 | 4.66 | |
| DOH | days | 45.86 | 43.32 | 47.95 | 42.84 | 78.26 |
December 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 7.96
= 45.86
The days of inventory on hand (DOH) for Arlo Technologies has shown a downward trend over the past five years, decreasing from 78.26 days as of December 31, 2020, to 45.86 days as of December 31, 2024. This indicates that the company has been more efficient in managing its inventory levels during this period. A lower DOH value suggests that Arlo Technologies is selling its inventory at a faster rate or maintaining optimal inventory levels, which can lead to lower carrying costs and reduced risk of obsolescence. The decreasing trend in DOH is a positive indicator of effective inventory management practices within the company, potentially improving cash flow and profitability.
Peer comparison
Dec 31, 2024