General Motors Company (GM)

Days of inventory on hand (DOH)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Inventory turnover		11.26	8.59	8.83	8.40	10.63
DOH	days	32.41	42.51	41.31	43.44	34.33

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 11.26
= 32.41

Based on the data provided for General Motors Company, the days of inventory on hand (DOH) have fluctuated over the past five years. In 2020, the company had an inventory turnover rate of 34.33 days, which increased to 43.44 days in 2021. Subsequently, the DOH decreased slightly to 41.31 days in 2022 but then increased again to 42.51 days in 2023. Finally, by the end of 2024, the DOH decreased to 32.41 days.

The trend indicates that General Motors Company has been managing its inventory levels effectively, with a significant improvement in 2024 compared to 2021. A lower DOH value suggests that the company is selling its inventory at a faster rate, which is generally positive as it indicates efficient inventory management and potentially lower carrying costs.

It is important for General Motors to continue monitoring its DOH metric to ensure optimal inventory levels, avoid overstocking, and maintain healthy cash flow. Further comparative analysis with industry peers or historical data can provide additional insights into the company's inventory management efficiency.