Donaldson Company Inc (DCI)
Days of inventory on hand (DOH)
| Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 4.85 | 5.43 | 4.46 | 4.90 | 5.30 | |
| DOH | days | 75.26 | 67.22 | 81.89 | 74.56 | 68.87 |
July 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 4.85
= 75.26
Analyzing Donaldson Company Inc's Days of Inventory on Hand (DOH) over the past five years reveals fluctuations in the efficiency of managing inventory levels. The DOH was 75.26 days as of July 31, 2024, an increase from the previous year's 67.22 days, indicating a longer time to sell inventory. In comparison to 2022 and 2021, where DOH was 81.89 days and 74.56 days, respectively, the current figure suggests a relatively better inventory management situation. However, when compared to 2020, where DOH stood at 68.87 days, the current level still indicates room for improvement in inventory turnover efficiency. Overall, Donaldson Company Inc may need to focus on optimizing inventory management strategies to enhance operational efficiency and maintain healthy cash flow levels.