The Boeing Company (BA)
Days of inventory on hand (DOH)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 6.13 | 6.93 | 6.53 | 5.53 | 5.52 | |
| DOH | days | 59.58 | 52.67 | 55.87 | 66.00 | 66.10 |
December 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 6.13
= 59.58
The days of inventory on hand (DOH) for The Boeing Company have shown a gradual decrease over the period from December 31, 2020, to December 31, 2024. In 2020, the DOH was recorded at 66.10 days and then decreased slightly to 66.00 days by the end of 2021. Subsequently, there was a more significant reduction as the DOH dropped to 55.87 days by the end of 2022 and further decreased to 52.67 days by the end of 2023. However, by December 31, 2024, the DOH slightly increased to 59.58 days.
A decreasing trend in DOH indicates that Boeing is more efficient in managing its inventory levels. A lower DOH suggests that the company is selling its products more quickly or managing its inventory more effectively, which can lead to cost savings and improved cash flow. However, the slight increase in DOH in 2024 may indicate a need for Boeing to monitor its inventory levels closely to optimize operational efficiency and financial performance in the future.
Peer comparison
Dec 31, 2024