Fulgent Genetics Inc (FLGT)

Days of inventory on hand (DOH)

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Inventory turnover 21.02 31.71 58.89 17.66 5.45
DOH days 17.36 11.51 6.20 20.67 67.02

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 21.02
= 17.36

The days of inventory on hand (DOH) for Fulgent Genetics Inc has shown a declining trend over the past five years, indicating that the company has been managing its inventory more efficiently.

In 2020, Fulgent Genetics had approximately 67.02 days of inventory on hand, which decreased significantly to 20.67 days by the end of 2021. This sharp decline suggests that the company was able to sell its inventory more quickly or tighten its inventory management practices.

By the end of 2022, the days of inventory on hand dropped even further to 6.20 days, demonstrating an impressive improvement in inventory turnover efficiency. However, by the end of 2023, the DOH increased slightly to 11.51 days, possibly due to changes in demand or production levels.

In 2024, Fulgent Genetics reported 17.36 days of inventory on hand, still lower than the levels in 2020 and 2021 but slightly higher compared to 2022. This indicates that the company continued to maintain a relatively lean inventory position while ensuring an adequate supply to meet customer demand.

Overall, the decreasing trend in Fulgent Genetics' days of inventory on hand over the years reflects improved inventory management and efficiency in handling its inventory levels, which is a positive indicator of the company's operational performance and financial health.