Baxter International Inc (BAX)

Days of inventory on hand (DOH)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Inventory turnover		1.37	3.48	3.57	3.13	3.70
DOH	days	265.57	104.77	102.11	116.60	98.69

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 1.37
= 265.57

Baxter International Inc's days of inventory on hand (DOH) measure has shown some fluctuations over the years. As of December 31, 2020, the company had 98.69 days worth of inventory on hand, indicating a relatively efficient management of inventory. However, this metric increased to 116.60 days by the end of 2021, suggesting a potential buildup of inventory levels.

Subsequently, the DOH figure decreased to 102.11 days by December 31, 2022, indicating a more efficient management of inventory compared to the previous year. However, there was a slight increase in DOH to 104.77 days by December 31, 2023, which may imply a slower turnover of inventory.

The most significant change in Baxter's DOH metric occurred by December 31, 2024, where the days of inventory on hand sharply surged to 265.57 days. This substantial increase may raise concerns about overstocking or potential issues in inventory management efficiency.

Overall, Baxter International Inc's DOH trend reflects some variations over the years, with a notable spike in 2024. Continued monitoring of inventory levels and effective inventory management strategies may be warranted to optimize working capital and operational performance.