ELF Beauty Inc (ELF)

Days of inventory on hand (DOH)

		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	Jun 30, 2020
Inventory turnover		—	1.75	1.48	1.65	1.57	1.29	1.58	2.17	2.32	2.07	1.89	2.06	1.66	1.61	1.75	2.31	1.97	1.52	1.57	1.90
DOH	days	—	208.41	246.82	221.22	233.11	282.61	230.68	168.34	157.51	176.68	192.89	177.18	219.63	227.35	208.42	158.13	185.29	239.52	232.39	191.89

March 31, 2025 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ —
= —

ELF Beauty Inc's days of inventory on hand (DOH) measure the average number of days it takes for the company to sell its inventory. A lower DOH value indicates that the company is efficiently managing its inventory levels, while a higher DOH value suggests that the company may be holding onto its inventory for a longer period.

Based on the provided data, we observe fluctuations in ELF Beauty Inc's DOH over the analyzed periods. The DOH ranged from a low of 157.51 days on March 31, 2023, to a high of 282.61 days on December 31, 2023. These variations indicate potential changes in the company's inventory management practices.

It is important for ELF Beauty Inc to closely monitor its DOH to ensure optimal inventory levels. A high DOH may tie up capital in excess inventory and increase the risk of obsolescence, while a low DOH may lead to potential stockouts and lost sales opportunities.

Overall, ELF Beauty Inc should strive to strike a balance in its inventory management to maintain adequate stock levels, optimize cash flow, and meet customer demand effectively. Regularly evaluating and adjusting its inventory control mechanisms can help the company improve its operational efficiency and profitability.