Cinemark Holdings Inc (CNK)
Days of inventory on hand (DOH)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 4.06 | 10.19 | 27.39 | 34.80 | 30.00 | |
| DOH | days | 89.80 | 35.83 | 13.33 | 10.49 | 12.17 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 4.06
= 89.80
Cinemark Holdings Inc's days of inventory on hand (DOH) has shown a decreasing trend from 2019 to 2023. In particular, the DOH decreased significantly from 19.52 days in 2020 to 7.82 days in 2023. This indicates that the company has been more efficient in managing its inventory levels and turning over inventory into sales within a shorter period. The decreasing trend in DOH could imply more effective inventory management practices, such as better demand forecasting, inventory control, and supply chain efficiency. It suggests that Cinemark Holdings Inc may have streamlined its operations to reduce excess inventory and improve cash flow by minimizing the time goods spend in the inventory cycle.