Danaher Corporation (DHR)

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		6.94	7.17	6.88	6.40	7.88	6.70	6.57	6.86	7.39	7.18	7.53	7.65	7.51	6.02	5.40	5.37	8.69	7.17	6.41	5.82
DOH	days	52.59	50.88	53.06	57.02	46.32	54.44	55.55	53.21	49.39	50.83	48.45	47.74	48.58	60.62	67.62	68.02	42.02	50.91	56.98	62.70

December 31, 2023 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 6.94
= 52.59

Danaher Corp.'s days of inventory on hand (DOH) has shown some fluctuations over the past eight quarters, ranging from 90.35 days to 100.10 days. The company's inventory turnover rate, as indicated by the DOH metric, reflects the number of days it takes for the company to sell its average inventory. A lower DOH indicates that the company is managing its inventory efficiently, while a higher DOH may imply slower inventory turnover or potential issues with inventory management.

In Q4 2023, Danaher Corp. had 96.06 days of inventory on hand, which was higher than the previous quarter but lower than the peak in Q1 2023. This increase may suggest a buildup of inventory that could potentially impact liquidity and working capital. Conversely, the lower DOH in Q3 2023 and Q4 2022 indicates a more efficient management of inventory during those periods.

Overall, although there have been fluctuations in Danaher Corp.'s DOH over the past eight quarters, it is essential for the company to strive for a balance in managing its inventory to ensure optimal operational efficiency and financial performance. Further analysis and comparison with industry benchmarks could provide more insights into the company's inventory management practices.