Crocs Inc (CROX)
Days of inventory on hand (DOH)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 7.66 | 5.78 | 7.72 | 6.78 | 6.49 | |
| DOH | days | 47.67 | 63.19 | 47.31 | 53.82 | 56.20 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 7.66
= 47.67
Crocs Inc's Days of Inventory on Hand (DOH) has been fluctuating over the past five years. The company's DOH was 80.20 days as of December 31, 2023, which represents a decrease compared to the previous year's figure of 101.56 days as of December 31, 2022. This reduction may indicate that Crocs Inc has improved its inventory management efficiency by reducing the number of days it takes to sell its inventory.
When compared to earlier years, we observe that the DOH was 87.25 days as of December 31, 2021, 100.50 days as of December 31, 2020, and 102.34 days as of December 31, 2019. The downward trend in the most recent year suggests that Crocs Inc may have implemented more effective inventory control measures or experienced increased demand for its products.
It is important to note that a lower DOH value generally signifies better inventory management, as it indicates the company is selling its products more quickly and efficiently. However, a very low DOH could also suggest stockouts or missed sales opportunities. Therefore, while the decreasing trend in Crocs Inc's DOH is a positive sign, it is essential for the company to strike a balance between maintaining optimal inventory levels and meeting customer demand effectively in the future.
Peer comparison
Dec 31, 2023