Exelixis Inc (EXEL)

Days of inventory on hand (DOH)

		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	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Inventory turnover		35.52	23.91	19.93	18.30	15.55	18.53	14.48	15.99	16.53	15.36	15.68	14.87	14.07	14.08	17.36	16.38	19.68	18.31	13.33	15.46
DOH	days	10.28	15.27	18.32	19.94	23.47	19.70	25.22	22.83	22.07	23.76	23.28	24.54	25.95	25.92	21.03	22.29	18.55	19.93	27.38	23.62

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 few years. The trend indicates that the company has managed its inventory levels relatively well.

In recent periods, the DOH has ranged between 15 to 25 days, with a decreasing trend observed in the most recent quarters. This suggests that Exelixis has been more efficient in managing its inventory levels to meet demand, potentially leading to cost savings and better cash flow management.

A lower DOH indicates that the company is selling its inventory faster, which can signal effective inventory management practices. However, it is essential for Exelixis to strike a balance between maintaining optimal inventory levels to support sales and avoiding excess inventory that could tie up capital unnecessarily.

Overall, based on the downward trend in DOH, Exelixis appears to be improving its inventory management efficiency, and this bodes well for the company's operational performance and financial health in the future.