Boise Cascad Llc (BCC)
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 | 8.57 | 8.87 | 8.92 | 8.97 | 10.24 | 9.42 | 8.87 | 8.93 | 10.41 | 8.30 | 6.92 | 6.85 | 7.35 | 10.46 | 9.97 | 6.51 | 4.99 | 3.19 | 0.93 | 0.85 | |
| DOH | days | 42.60 | 41.13 | 40.94 | 40.69 | 35.66 | 38.75 | 41.14 | 40.89 | 35.07 | 43.98 | 52.78 | 53.32 | 49.67 | 34.89 | 36.61 | 56.07 | 73.09 | 114.39 | 392.45 | 428.65 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 8.57
= 42.60
Boise Cascade Co's Days of Inventory on Hand (DOH) has shown a fluctuating trend over the past eight quarters, ranging from 39.34 days to 48.07 days. In Q4 2023, the company had 48.07 days of inventory on hand, the highest level in the given period. This indicates that Boise Cascade Co is holding inventory for an average of 48.07 days before it is sold, which may suggest slower inventory turnover.
Comparing Q4 2023 to the previous quarters, there has been a gradual increase in DOH from Q1 2023 (45.14 days) to Q4 2023 (48.07 days). This suggests that the company may be facing challenges in managing its inventory levels efficiently, potentially leading to higher carrying costs and a higher risk of obsolete inventory.
It is worth noting that the DOH in Q4 2023 is substantially higher compared to Q4 2022 (39.34 days), indicating a significant increase in the time it takes for the company to sell its inventory. This may raise concerns regarding inventory management practices and their impact on the company's working capital and overall profitability.
In conclusion, the analysis of Boise Cascade Co's DOH reveals a trend of increasing inventory holding period, which warrants further investigation into the company's inventory management strategies and potential implications for its financial performance.
Peer comparison
Dec 31, 2023