CNH Industrial N.V. (CNH)
Days of inventory on hand (DOH)
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 2.48 | 2.63 | 2.65 | 3.04 | 2.65 | 2.68 | 2.86 | 3.49 | 2.96 | 2.77 | 2.67 | 3.35 | 0.85 | 1.10 | 1.40 | 1.85 | 3.09 | 2.99 | 2.86 | 3.08 | |
| DOH | days | 146.92 | 138.70 | 137.56 | 120.20 | 137.52 | 135.98 | 127.54 | 104.54 | 123.37 | 131.77 | 136.62 | 109.07 | 430.99 | 331.10 | 260.66 | 197.10 | 118.31 | 121.88 | 127.53 | 118.40 |
September 30, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 2.48
= 146.92
The days of inventory on hand (DOH) for CNH Industrial N.V. has shown some fluctuations over the historical period. There was a significant increase in DOH from Dec 31, 2021, to Mar 31, 2022, reaching a peak of 430.99 days, indicating a potential excess of inventory relative to sales activity. This was followed by a sharp decrease in DOH by Dec 31, 2022, suggesting inventory management improvements.
Subsequently, the DOH figures remained relatively stable in the range of 104.54 to 146.92 days from Dec 31, 2022, to Sep 30, 2024, indicating a more balanced inventory level. However, the trend seems to hover on the higher side compared to earlier periods.
Overall, a lower DOH signifies efficient inventory management with quicker turnover, while a higher DOH may imply excess or slow-moving inventory that could tie up capital. Continuous monitoring and optimization of inventory levels are essential to ensure operational efficiency and healthy financial performance.
Peer comparison
Sep 30, 2024