Capri Holdings Ltd (CPRI)
Days of inventory on hand (DOH)
| 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 | Sep 30, 2019 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 6.26 | 4.93 | 4.54 | 4.24 | 4.66 | 4.14 | 4.16 | 3.84 | 4.31 | 4.78 | 5.25 | 5.78 | 5.45 | 4.03 | 3.66 | 4.03 | 5.42 | 4.20 | 3.54 | 3.45 | |
| DOH | days | 58.29 | 74.10 | 80.44 | 86.00 | 78.35 | 88.13 | 87.67 | 95.14 | 84.77 | 76.36 | 69.55 | 63.10 | 66.93 | 90.56 | 99.69 | 90.65 | 67.29 | 86.88 | 103.00 | 105.75 |
March 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 6.26
= 58.29
Days of Inventory on Hand (DOH) is a measure that indicates the number of days a company holds its inventory before selling it. A lower DOH value generally signifies efficient inventory management, while a higher DOH value may imply slower inventory turnover.
Analyzing Capri Holdings Ltd's historical DOH ratios reveals fluctuations in its inventory management over time. The trend shows that the company's DOH has ranged from a low of 58.29 days to a high of 105.75 days over the past several quarters.
The highest DOH ratio was observed in Dec 2019 and Sep 2019, indicating a prolonged period of holding inventory before selling. Subsequently, there was a downward trend in DOH values, reaching a low point in Jun 2021, suggesting improved efficiency in inventory turnover during that period.
However, the DOH ratios increased again in subsequent quarters, particularly in Dec 2021 and Mar 2022, before showing some fluctuations in recent periods.
Overall, Capri Holdings Ltd should strive to manage its inventory effectively to maintain a balance between avoiding stockouts and minimizing holding costs. The company may need to analyze the reasons behind fluctuations in DOH and implement strategies to optimize its inventory management processes for better operational efficiency.
Peer comparison
Mar 31, 2024