Fresh Del Monte Produce Inc (FDP)
Days of inventory on hand (DOH)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 6.62 | 6.13 | 6.55 | 7.78 | 7.58 | |
| DOH | days | 55.15 | 59.53 | 55.73 | 46.90 | 48.15 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 6.62
= 55.15
The days of inventory on hand (DOH) for Fresh Del Monte Produce Inc have shown some fluctuation over the past five years. In 2023, the company had an average of 55.15 days of inventory on hand, which is lower than the previous year's 59.53 days. This suggests that the company managed its inventory more efficiently in 2023 compared to 2022.
Comparing 2023 to 2021, we see a slight decrease in DOH from 55.73 days to 55.15 days. This indicates a relatively stable inventory management strategy during this period. In 2020, the DOH was 46.90 days, which was lower than both 2021 and 2023, implying that the company had a more aggressive approach to managing inventory levels that year.
Looking back to 2019, the company had 48.15 days of inventory on hand, slightly higher than the DOH in 2023. This suggests that Fresh Del Monte Produce Inc may have improved its inventory management efficiency over the past five years.
Overall, the trend in Fresh Del Monte's DOH indicates a focus on optimizing inventory levels to strike a balance between meeting demand and minimizing holding costs. The fluctuations in DOH reflect the company's efforts to improve operational efficiency and maintain a competitive position in the market.
Peer comparison
Dec 31, 2023