Columbia Sportswear Company (COLM)

Days of inventory on hand (DOH)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Inventory turnover		4.29	3.01	4.18	2.30	2.52
DOH	days	85.12	121.28	87.34	158.99	144.86

December 31, 2023 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 4.29
= 85.12

Columbia Sportswear Co.'s Days of Inventory on Hand (DOH) indicates the number of days it takes for the company to sell its average inventory. A lower DOH value suggests faster inventory turnover and efficient management of inventory levels.

Over the past five years, Columbia Sportswear Co.'s DOH has varied, with the highest value recorded in 2022 at 214.15 days and the lowest in 2019 at 144.86 days. In 2023, the DOH decreased to 155.01 days, which is a positive signal as it shows an improvement in inventory management efficiency compared to the previous year.

It is important to assess the DOH in conjunction with industry benchmarks and trends within the company to evaluate the effectiveness of inventory management. A decreasing trend in DOH over time can indicate better control over inventory levels, lower carrying costs, and potentially higher profitability due to reduced holding costs and obsolescence risks. Further analysis and comparison with competitors are recommended to provide a comprehensive evaluation of Columbia Sportswear Co.'s inventory management performance.