Embecta Corp (EMBC)
Days of inventory on hand (DOH)
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 4.47 | 4.06 | 5.02 | 5.01 | 4.76 | 2.09 | 2.18 | 2.24 | 2.00 | ||||
| DOH | days | 81.73 | 89.93 | 72.68 | 72.82 | 76.65 | 175.05 | 167.76 | 163.11 | 182.06 |
September 30, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 4.47
= 81.73
The days of inventory on hand (DOH) for Embecta Corp have shown fluctuations over the past several quarters. In the most recent quarter, as of September 30, 2024, the company held inventory for an average of 81.73 days, which is a decrease from the previous quarter's 89.93 days. This indicates that the company is managing its inventory more efficiently compared to the prior period.
Looking back over the past year, there have been varying levels of DOH, with higher values recorded in the first half of 2023, reaching up to 175.05 and 167.76 days in the quarters ending in June and March, respectively. These elevated levels suggest that the company may have faced challenges in inventory management during that period.
It is important for Embecta Corp to strike a balance in managing its inventory to avoid stockouts or excess inventory that can tie up resources. A decreasing trend in DOH, as seen in the most recent quarter, can be a positive sign of improved inventory control and efficiency within the company. Monitoring and analyzing this ratio regularly can help the company optimize its inventory levels and improve overall financial performance.
Peer comparison
Sep 30, 2024