Ecolab Inc (ECL)

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		8.98	8.66	7.97	7.48	7.10	6.91	7.04	7.32	7.51	7.90	7.48	7.67	8.49	8.95	9.88	8.47	11.98	8.15	7.94	7.83
DOH	days	40.64	42.14	45.80	48.77	51.43	52.82	51.84	49.88	48.59	46.21	48.80	47.57	42.98	40.78	36.93	43.08	30.46	44.81	45.95	46.63

December 31, 2023 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 8.98
= 40.64

Ecolab, Inc.'s days of inventory on hand (DOH) have exhibited a decreasing trend over the past eight quarters, indicating improvements in inventory management efficiency. In Q4 2023, the company held inventory for an average of 59.69 days, down from 61.44 days in the previous quarter and significantly lower compared to the peak of 74.10 days in Q4 2022. This downward trend suggests that Ecolab has been effectively managing its inventory levels, potentially leading to lower carrying costs, decreased risk of obsolescence, and improved cash flow. The gradual reduction in DOH reflects the company's ability to streamline operations and optimize inventory turnover, which could positively impact profitability and overall financial health.