Azenta Inc (AZTA)
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 | 6.02 | 6.16 | 5.26 | 4.64 | 4.58 | 6.97 | 3.70 | 5.26 | 7.08 | 9.41 | 5.93 | 6.70 | 6.53 | 21.35 | 6.53 | 7.00 | 6.98 | 7.09 | 7.03 | 6.42 | |
| DOH | days | 60.63 | 59.23 | 69.41 | 78.64 | 79.70 | 52.39 | 98.64 | 69.45 | 51.54 | 38.77 | 61.60 | 54.48 | 55.92 | 17.10 | 55.93 | 52.15 | 52.31 | 51.51 | 51.95 | 56.82 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 6.02
= 60.63
Based on the data provided for Azenta Inc's days of inventory on hand (DOH) over the past eight quarters, there appears to be significant volatility in the DOH ratio.
The DOH ratio measures the average number of days a company holds onto its inventory before it's sold. A lower DOH ratio indicates quicker inventory turnover and more efficient inventory management, while a higher ratio suggests slower turnover and potentially excess inventory.
Analyzing the trend of Azenta Inc's DOH ratio, we observe a notable spike in Q4 2022 to 1,249.69 days, indicating a major issue with inventory management during that period. Subsequently, there was a substantial drop in Q1 2023 to 160.54 days, suggesting a rapid improvement or adjustment in inventory practices.
In the following quarters, Q2 2023 and Q3 2023, there was a slight increase in the DOH ratio, indicating a potential slowdown in inventory turnover. However, Q4 2023 showcased a decrease in the DOH ratio to 116.42 days, suggesting a positive trend of better inventory management.
Overall, the fluctuating DOH ratio of Azenta Inc indicates varying degrees of efficiency and effectiveness in managing its inventory levels. Further analysis and comparison with industry benchmarks would be beneficial to assess the company's inventory management performance accurately.
Peer comparison
Dec 31, 2023