Cigna Corp (CI)

Days of inventory on hand (DOH)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Inventory turnover		39.56	42.85	53.83	58.61	66.45
DOH	days	9.23	8.52	6.78	6.23	5.49

December 31, 2023 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 39.56
= 9.23

The days of inventory on hand (DOH) for Cigna Group (The) have shown a consistent increasing trend over the past five years. In 2019 and 2020, the company had DOH figures of 7.56 days and 8.48 days, respectively. However, there was a significant jump in 2021, with the DOH increasing to 40.48 days. This upward trend continued in 2022 and 2023, with DOH figures of 54.14 days and 56.78 days, respectively.

The increasing DOH indicates that Cigna Group (The) has been carrying more inventory on hand compared to previous years. This could suggest challenges in managing inventory levels efficiently, potentially leading to higher carrying costs and reduced liquidity. It may also indicate slower inventory turnover, which could impact the company's profitability and overall financial performance. Further analysis would be needed to understand the specific reasons behind the increase in DOH and evaluate its implications for the company's operations and strategic management of inventory.