Estee Lauder Companies Inc (EL)

Days of inventory on hand (DOH)

		Jun 30, 2025	Mar 31, 2025	Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Inventory turnover		1.80	1.97	2.04	1.90	2.03	1.95	1.75	1.61	1.53	1.43	1.39	1.42	1.47	1.51	1.61	1.54	1.53	1.69	1.66	1.57
DOH	days	203.01	184.91	178.88	192.22	179.45	187.37	209.00	226.63	238.24	255.06	262.52	257.92	247.57	242.48	226.73	236.36	238.48	215.47	219.91	231.90

June 30, 2025 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 1.80
= 203.01

The Days of Inventory on Hand (DOH) for Estee Lauder Companies Inc. has experienced notable fluctuations over the reported periods from September 2020 through June 2025. Starting at approximately 231.90 days as of September 30, 2020, the DOH decreased to a low of around 178.88 days by December 31, 2024. This indicates an overall improvement in inventory turnover, reflecting perhaps better inventory management or shifts in demand patterns.

Throughout the period, the DOH experienced intermittent increases and decreases. Notably, it peaked at approximately 262.52 days on December 31, 2022, suggesting a period of increased inventory levels or slower sales during that time. Subsequently, there was a consistent downward trend, with DOH declining to 179.45 days by June 30, 2024, and further reducing to 178.88 days at year-end 2024.

In the more recent periods, there was a slight uptick to 184.91 days as of March 31, 2025, before rising again to 203.01 days by June 30, 2025. This pattern may imply some short-term inventory build-up or supply chain adjustments.

Overall, the trend suggests the company has been effective in reducing its inventory holding period from a high point in 2022, indicating improved efficiency in inventory management, potentially driven by better demand forecasting or supply chain optimization. The fluctuation in DOH also reflects dynamic operational adjustments in response to changing market conditions or strategic inventory positioning.