Group 1 Automotive Inc (GPI)

Days of inventory on hand (DOH)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Inventory turnover		8.57	11.10	11.75	7.12	6.14
DOH	days	42.60	32.88	31.07	51.27	59.40

December 31, 2023 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 8.57
= 42.60

The days of inventory on hand (DOH) for Group 1 Automotive, Inc. have shown a fluctuating trend over the past five years, indicating varying efficiency in managing its inventory levels.

In 2019, the company had a relatively high DOH of 67.87 days, suggesting that it took the company nearly 68 days to sell its inventory. However, this metric improved significantly in 2020, with the DOH dropping to 59.00 days.

Subsequently, there was a further reduction in 2021 to 35.48 days, showcasing enhanced inventory management practices leading to a quicker turnover of inventory. The trend continued with an even lower DOH of 37.35 days in 2022.

However, in 2023, there was a slight uptick in the DOH to 48.25 days, indicating a potential slowing down in inventory turnover compared to the previous year.

Overall, while there have been fluctuations, Group 1 Automotive, Inc. has made progress in efficiently managing its inventory levels over the years, with some room for improvement based on the latest data.