Becton Dickinson and Company (BDX)

Days of inventory on hand (DOH)

		Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Inventory turnover		4.58	5.69	5.77	5.59	5.56	4.68	4.53	4.63	5.22	5.40	5.31	5.67	6.26	5.16	4.52	4.05	3.48	3.15	3.35	3.28
DOH	days	79.64	64.12	63.28	65.25	65.69	77.93	80.63	78.85	69.96	67.63	68.71	64.36	58.35	70.76	80.78	90.04	104.95	115.83	108.92	111.17

September 30, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 4.58
= 79.64

The Days of Inventory on Hand (DOH) for Becton Dickinson and Company has varied over the past few quarters. Generally, DOH provides insight into how efficiently a company manages its inventory.

From December 2019 to June 2020, the DOH was on the higher side, peaking at 115.83 days in September 2020. This indicates that the company was holding inventory for a longer period, which may tie up capital and lead to potential obsolescence risks.

Starting from December 2020, there was a decreasing trend in DOH, reaching a low of 58.35 days in March 2022. This suggests that the company was managing its inventory more effectively and could potentially be improving its inventory turnover.

However, there was a slight increase in DOH in the most recent quarters, with a DOH of 79.64 days in September 2024. This uptick could indicate a slowdown in inventory turnover, which might require further investigation to understand the underlying reasons and implications for the company's operations and financial performance.

Overall, continuous monitoring and analysis of the DOH metric can provide valuable insights into Becton Dickinson and Company's inventory management efficiency and operational performance.