Enovis Corp (ENOV)

Days of inventory on hand (DOH)

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Inventory turnover 1.69 1.53 1.63 2.89 3.16
DOH days 215.46 238.86 224.48 126.46 115.65

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 1.69
= 215.46

The days of inventory on hand (DOH) for Enovis Corp has shown an upward trend over the years, increasing from 115.65 days as of December 31, 2020, to 126.46 days by December 31, 2021. This suggests that the company is holding onto its inventory for a longer period, which could potentially indicate inefficiencies in managing inventory levels.

The trend continued to escalate significantly in the following years, with DOH reaching 224.48 days as of December 31, 2022, further growing to 238.86 days by December 31, 2023. This sharp rise indicates a potential issue with overstocking or slow inventory turnover, which may tie up working capital and lead to higher carrying costs.

Although there was a slight decrease in DOH to 215.46 days by December 31, 2024, the overall trend still remains elevated compared to the initial years. Enovis Corp may need to reassess its inventory management practices and strategies to optimize its inventory turnover rate, reduce carrying costs, and improve overall operational efficiency.