Church & Dwight Company Inc (CHD)
Days of inventory on hand (DOH)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 5.35 | 4.83 | 5.47 | 5.41 | 5.69 | |
| DOH | days | 68.26 | 75.51 | 66.77 | 67.43 | 64.18 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 5.35
= 68.26
The days of inventory on hand (DOH) for Church & Dwight Co., Inc. have displayed varying trends over the past five years. In 2023, the DOH decreased to 68.26 days from 75.51 days in 2022, indicating that the company effectively managed its inventory levels compared to the previous year. This reduction suggests that Church & Dwight may have improved its inventory turnover efficiency or experienced stronger sales performance relative to the level of inventory held during the year.
When compared to 2021 and 2020, the DOH in 2023 remained relatively higher, suggesting that there may be room for further optimization in inventory management practices. However, it is important to note that the DOH figures for these years are within a close range, indicating a consistent performance in maintaining inventory levels in relation to sales.
In 2019, the DOH was lower at 64.18 days, indicating that the company held less inventory on hand compared to the subsequent years. This suggests that Church & Dwight may have sought to streamline its inventory management processes or experienced a higher rate of inventory turnover in that year.
Overall, while the DOH of Church & Dwight Co., Inc. has fluctuated over the past five years, the company has shown responsiveness in adjusting its inventory levels to align with sales demand. Further analysis of industry benchmarks and company-specific factors would provide additional insights into the effectiveness of Church & Dwight's inventory management strategy.
Peer comparison
Dec 31, 2023