Black Hills Corporation (BKH)

Days of inventory on hand (DOH)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Inventory turnover		0.44	0.34	0.43	0.52	0.48
DOH	days	820.23	1,062.72	856.79	708.70	753.92

December 31, 2023 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 0.44
= 820.23

Black Hills Corporation's days of inventory on hand (DOH) have exhibited fluctuations over the past five years. The trend shows a decrease in DOH from 2019 to 2020, followed by an increase in 2021 before declining in 2022 and 2023.

A lower DOH indicates that the company is more efficient in managing its inventory, as it takes fewer days to sell its inventory. Conversely, a higher DOH may suggest inventory management issues or slow-moving inventory.

Overall, Black Hills Corporation has shown improvements in inventory management efficiency over the last two years based on the decreasing trend in DOH. However, further analysis of the company's operations and industry benchmarks would provide a more comprehensive understanding of its inventory management performance.