Acuity Brands Inc (AYI)
Days of inventory on hand (DOH)
| Aug 31, 2024 | May 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 8.60 | 9.06 | 9.06 | 9.44 | 9.61 | 8.95 | 8.36 | 7.44 | 7.28 | 4.42 | 4.64 | 5.26 | 5.54 | 8.14 | 9.10 | 9.43 | 9.44 | 8.54 | 9.08 | 9.01 | |
| DOH | days | 42.42 | 40.29 | 40.28 | 38.67 | 37.98 | 40.77 | 43.67 | 49.06 | 50.12 | 82.51 | 78.70 | 69.45 | 65.85 | 44.84 | 40.11 | 38.70 | 38.67 | 42.75 | 40.21 | 40.50 |
August 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 8.60
= 42.42
Days of Inventory on Hand (DOH) is a financial ratio that measures the number of days it takes for a company to sell its inventory. A lower DOH indicates that the company is managing its inventory more efficiently, while a higher DOH suggests that the company may be holding onto excess inventory or facing challenges in selling its products.
Analyzing the trend of Acuity Brands Inc's DOH over the past few quarters, we observe fluctuations in the ratio. The DOH has ranged from a low of 37.98 days to a high of 82.51 days during the period under consideration.
In general, it appears that the company's inventory management has varied over time. The downward trend in DOH from 82.51 days in Q2 FY2022 to around 40 days in the recent quarters indicates that Acuity Brands Inc has improved its efficiency in managing its inventory levels. However, the ratio did show some fluctuation in individual quarters, possibly due to seasonal factors or changes in demand for the company's products.
Overall, Acuity Brands Inc's DOH ratio suggests that the company has made progress in optimizing its inventory turnover and reducing excess inventory levels, which is a positive indication of effective inventory management. Monitoring this ratio over time can provide valuable insights into the company's operational efficiency and performance in inventory management.
Peer comparison
Aug 31, 2024