Dayforce Inc. (DAY)

Days of inventory on hand (DOH)

		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	Mar 31, 2019
Inventory turnover		—	0.17	0.19	0.13	0.18	—	—	—	0.18	0.11	0.18	0.12	0.13	0.18	0.18	0.13	—	0.17	0.11	0.09
DOH	days	—	2,198.32	1,902.25	2,893.03	1,975.63	—	—	—	2,011.62	3,268.72	2,079.97	3,006.71	2,737.79	1,979.93	2,049.46	2,846.30	—	2,156.71	3,369.95	3,870.44

December 31, 2023 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ —
= —

The days of inventory on hand (DOH) for Dayforce Inc. over the past few years have shown fluctuations, with some periods having no data available. The DOH ratio indicates the number of days a company takes to sell its inventory on hand.

In the period ending December 31, 2023, the DOH stood at 2,198.32 days, reflecting a significant increase compared to the previous period. This implies that the company took a longer time to sell its inventory at the end of the year.

Moving to September 30, 2023, the DOH decreased to 1,902.25 days, indicating an improvement in inventory turnover efficiency since the previous quarter. However, the DOH remains relatively high, suggesting that the company may be experiencing challenges in managing its inventory levels effectively.

The quarter ending June 30, 2023, saw a sharp increase in DOH to 2,893.03 days, which is the highest value in the provided data series. This signals a potential issue with inventory management during that period.

In contrast, the quarter ending March 31, 2023, showed a decrease in DOH to 1,975.63 days, indicating a more efficient inventory turnover compared to the previous quarter.

The availability of data for some periods presents challenges in identifying consistent trends in inventory management efficiency. Overall, the company should aim to reduce its DOH to improve liquidity, reduce carrying costs, and optimize working capital management. Monitoring and analyzing inventory turnover ratios can help Dayforce Inc. make informed decisions to enhance operational performance.