Fortive Corp (FTV)

Days of inventory on hand (DOH)

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Inventory turnover		9.41	8.89	8.71	8.55	9.17	8.86	8.72	8.55	8.95	8.39	8.42	8.16	8.63	5.69	6.87	7.73	9.03	9.34	9.33	9.87
DOH	days	38.78	41.07	41.93	42.70	39.82	41.18	41.86	42.70	40.80	43.51	43.36	44.71	42.27	64.16	53.12	47.23	40.44	39.08	39.13	36.96

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 9.41
= 38.78

The Days of Inventory on Hand (DOH) for Fortive Corp has shown fluctuations over the periods analyzed. The trend indicates an increase in inventory holding period from March 31, 2020, to a peak level on September 30, 2021. Subsequently, there was a noticeable decline in DOH by December 31, 2021, before slightly increasing in the following periods.

The highest DOH was recorded on September 30, 2021, at 64.16 days, suggesting a longer period for inventory turnover. This could indicate potential inefficiencies in managing inventory levels or challenges in forecasting demand accurately during that period. However, the DOH gradually declined after that peak, indicating improvements in managing inventory levels and potentially optimizing production processes or supply chain operations.

Overall, the fluctuations in DOH for Fortive Corp reflect changes in inventory management strategies and operational efficiency over time. Analyzing the DOH in conjunction with other financial metrics can provide a more comprehensive understanding of the company's performance and operational effectiveness.