First Solar Inc (FSLR)

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		2.46	2.61	3.29	3.50	4.10	2.80	2.62	2.30	3.29	3.06	3.58	4.01	3.58	4.66	4.67	5.05	5.67	3.54	3.72	4.33
DOH	days	148.30	139.90	111.01	104.28	88.96	130.43	139.57	158.97	110.88	119.23	102.02	90.99	102.02	78.29	78.13	72.25	64.39	103.15	98.23	84.31

December 31, 2023 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 2.46
= 148.30

The days of inventory on hand (DOH) for First Solar Inc have shown fluctuations over the past eight quarters. In Q4 2023, the DOH increased to 148.30 days from 139.90 days in Q3 2023. This rise indicates that the company held its inventory for a longer period during this quarter. However, compared to Q2 2023 and Q1 2023, the DOH was higher, suggesting a potential buildup of inventory or slower inventory turnover in Q4 2023.
Looking back further, in Q4 2022, the DOH was at 88.96 days, indicating a significant increase over the past year. The trend in DOH numbers is essential, as a high DOH value may indicate inefficiencies in inventory management or potentially obsolete inventory. Conversely, a low DOH may suggest efficient inventory turnover but could also point to stockouts or reduced sales volume. Monitoring the DOH trend over time can provide insights into inventory management effectiveness within First Solar Inc.