Ecolab Inc (ECL)

Days of inventory on hand (DOH)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Inventory turnover		6.08	6.10	4.93	5.11	5.37
DOH	days	60.08	59.84	74.10	71.50	67.93

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 6.08
= 60.08

The days of inventory on hand (DOH) for Ecolab Inc have shown some fluctuations over the years. In 2020, the DOH stood at 67.93 days, indicating that the company held inventory for approximately 68 days before selling it. By the end of 2021, the DOH increased to 71.50 days, suggesting a slightly slower turnover of inventory.

In 2022, the DOH continued to rise to 74.10 days, signaling a potential buildup of inventory levels. However, in the following years, there was a notable improvement in inventory management as the DOH dropped to 59.84 days by the end of 2023 and further to 60.08 days by the end of 2024. These reductions in DOH indicate that Ecolab Inc became more efficient in managing its inventory, potentially leading to cost savings and improved cash flow.

Overall, the trend in days of inventory on hand for Ecolab Inc reflects efforts to optimize inventory levels and enhance operational efficiency in the later years.