Golden Entertainment Inc (GDEN)
Days of inventory on hand (DOH)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 36.40 | 71.33 | 76.05 | 87.90 | 72.21 | |
| DOH | days | 10.03 | 5.12 | 4.80 | 4.15 | 5.05 |
December 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 36.40
= 10.03
The days of inventory on hand (DOH) for Golden Entertainment Inc has shown some fluctuations over the past five years. In December 2020, the company had 5.05 days of inventory on hand, which decreased to 4.15 days by December 2021. Subsequently, the DOH increased slightly to 4.80 days by December 2022 and further to 5.12 days by December 2023. However, there was a significant increase in inventory holding period to 10.03 days by December 2024.
The downward trend in DOH from 2020 to 2021 indicates that the company managed its inventory more efficiently during that period, potentially reducing holding costs and minimizing the risk of inventory obsolescence. The subsequent increase from 2021 to 2024 may suggest changes in the company's inventory management practices or inventory turnover rates.
It is essential for Golden Entertainment Inc to carefully monitor and manage its inventory levels to optimize working capital and maximize profitability. The significant increase in DOH in 2024 warrants attention, as it may indicate excess inventory levels or potential challenges in sales or production processes that need to be addressed to improve operational efficiency.
Peer comparison
Dec 31, 2024