Energizer Holdings Inc (ENR)
Days of inventory on hand (DOH)
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 3.75 | 3.94 | 3.41 | 4.45 | 4.78 | |
| DOH | days | 97.35 | 92.73 | 107.16 | 82.07 | 76.41 |
September 30, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 3.75
= 97.35
To analyze Energizer Holdings Inc's days of inventory on hand (DOH) over the past five years, we can see a fluctuating trend in the company's ability to manage its inventory.
In 2019, the DOH was 114.91 days, which increased to 112.23 days in 2020. However, there was a significant jump in 2021, with the DOH reaching 142.91 days, possibly indicating challenges in managing inventory levels efficiently. Subsequently, in 2022, the DOH increased further to 145.88 days, suggesting a potential increase in excess or obsolete inventory.
Conversely, the DOH decreased to 129.18 days in 2023, indicating potential improvements in inventory management. It's important to note that a higher DOH may signify inefficiencies in inventory turnover, tying up working capital and potentially leading to increased carrying costs.
Further analysis should explore the reasons behind these fluctuations and assess their impact on the company's operational efficiency and cash flows.
Peer comparison
Sep 30, 2023