Freeport-McMoran Copper & Gold Inc (FCX)
Days of inventory on hand (DOH)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 2.69 | 3.06 | 3.29 | 3.19 | 3.43 | |
| DOH | days | 135.81 | 119.13 | 111.03 | 114.50 | 106.48 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 2.69
= 135.81
The days of inventory on hand (DOH) for Freeport-McMoRan Inc has shown a fluctuating trend over the past five years. In 2023, the DOH increased to 162.32 days, which is higher compared to the previous year's DOH of 144.98 days in 2022. This suggests that the company took longer to sell its inventory in 2023.
Looking back at the trend, the DOH was relatively stable around the 130-140 day range from 2019 to 2022, indicating efficient inventory management during those years. However, in 2023, there was a noticeable increase in the DOH, indicating a potential buildup of inventory or a slowdown in sales compared to the previous year.
Further analysis would be required to understand the reasons behind the increase in DOH in 2023 and whether it is a one-time occurrence or a concerning trend for the company's operational efficiency and financial performance.
Peer comparison
Dec 31, 2023
See also:
Freeport-McMoran Copper & Gold Inc Average Inventory Processing Period