BorgWarner Inc (BWA)

Days of inventory on hand (DOH)

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Inventory turnover 9.14 8.86 10.44 7.81 6.42
DOH days 39.92 41.21 34.98 46.73 56.86

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 9.14
= 39.92

Based on the data provided, BorgWarner Inc's days of inventory on hand (DOH) has shown a decreasing trend over the years.

In 2020, the company had 56.86 days of inventory on hand, which decreased to 46.73 days in 2021. This downward trend continued with the DOH dropping to 34.98 days in 2022. However, there was a slight increase to 41.21 days in 2023, followed by a further decrease to 39.92 days in 2024.

The declining trend in DOH indicates that BorgWarner Inc has been managing its inventory more efficiently over the years. A lower DOH value implies that the company is able to sell its inventory more quickly, which can lead to lower holding costs and better cash flow management.

Overall, the trend in BorgWarner Inc's DOH suggests a positive development in its inventory management practices, reflecting potential improvements in operational efficiency and financial performance.