Exelixis Inc (EXEL)

Days of inventory on hand (DOH)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Inventory turnover		35.52	15.55	16.53	15.72	20.28
DOH	days	10.28	23.47	22.07	23.22	18.00

December 31, 2023 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 35.52
= 10.28

Exelixis Inc's days of inventory on hand (DOH) has shown fluctuations over the past five years. In 2023, the company recorded a DOH of 10.28 days, which represents a significant improvement compared to 2022 and indicates that Exelixis was able to sell its inventory more quickly during the year. This lower DOH figure may suggest efficient inventory management or a higher demand for the company's products.

In 2022, Exelixis had a DOH of 23.47 days, which was notably higher than the DOH in the subsequent year. This may indicate that Exelixis had slower inventory turnover in 2022, potentially signaling challenges in managing inventory levels efficiently or lower demand for its products during that period.

In 2021 and 2020, the company maintained relatively consistent DOH figures of 22.07 days and 23.22 days, respectively. These figures suggest a stable inventory turnover rate during those years, although slightly on the higher side, which could imply room for improvement in streamlining inventory management processes.

In 2019, Exelixis recorded a DOH of 18.00 days, showing a lower inventory holding period compared to the following years. This may indicate that in 2019, Exelixis was more effective in managing its inventory levels and swiftly converting inventory into sales.

Overall, monitoring Exelixis Inc's DOH over the years provides valuable insights into the company's inventory management efficiency, sales performance, and demand for its products. A lower DOH generally signifies better inventory turnover and efficient operations, while higher DOH figures may reflect inventory management challenges or weaker sales performance.