Estee Lauder Companies Inc (EL)

The analysis of the Days of Inventory on Hand (DOH) for Estee Lauder Companies Inc. over the specified period indicates notable fluctuations. As of June 30, 2021, the DOH was approximately 238.48 days, reflecting the number of days inventory was held before sale. This figure increased slightly to about 247.57 days by June 30, 2022, suggesting a marginal buildup of inventory, possibly due to strategic inventory accumulation or slower turnover in that period. By June 30, 2023, the DOH slightly decreased back to around 238.24 days, indicating relative stability compared to the previous year.

However, a significant reduction is observed in the subsequent period, with the DOH dropping to approximately 179.45 days as of June 30, 2024. This sharp decline signifies that inventory is being held for a shorter duration, which could suggest improved inventory management, faster sales cycles, or a shift in product mix favoring quicker turnover. The trend indicates continued improvement, with the DOH slightly increasing again to about 203.01 days by June 30, 2025, yet remaining notably lower than historical levels observed prior to 2024.

Overall, the data reflect a trend of decreasing inventory holding periods in recent years, particularly starting from mid-2024. This reduction may imply heightened efficiency in inventory management, an acceleration in sales cycles, or strategic changes aimed at optimizing inventory levels. The fluctuation over the years should be contextualized within broader operational strategies and market conditions to fully interpret the implications for the company's inventory efficiency.

Peer comparison

Jun 30, 2025