Benchmark Electronics Inc (BHE)

Days of inventory on hand (DOH)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Inventory turnover		3.76	3.62	3.92	5.74	6.61
DOH	days	97.19	100.96	93.19	63.62	55.20

December 31, 2023 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 3.76
= 97.19

Benchmark Electronics Inc.'s Days of Inventory on Hand (DOH) has shown fluctuating trends over the past five years. In 2023, the DOH increased to 97.19 days from 100.96 days in 2022, indicating that the company held inventory for a slightly shorter period in the most recent year. However, compared to 2021 and 2020, the DOH has increased, suggesting that Benchmark Electronics Inc. took longer to sell its inventory in 2023.

The significant increase in 2023 compared to 2019 and 2020 suggests potential issues with inventory management efficiency, as it took a longer time for the company to turn its inventory into sales. This trend warrants further investigation to determine the reasons behind the increase in DOH.

It is essential for Benchmark Electronics Inc. to monitor and manage its inventory levels effectively to avoid potential overstocking or obsolete inventory issues, which can tie up capital and impact profitability. Investors and stakeholders should closely monitor changes in the company's DOH to assess its operational performance and efficiency in managing inventory.