Halliburton Company (HAL)

Days of inventory on hand (DOH)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Inventory turnover		0.13	0.08	0.24	0.10	1.92
DOH	days	2,830.61	4,599.57	1,532.90	3,651.55	190.28

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 0.13
= 2,830.61

The days of inventory on hand (DOH) for Halliburton Company has exhibited significant fluctuations over the past five years.

At the end of December 31, 2020, the DOH was 190.28 days, indicating that on average, it took the company approximately 190 days to sell its inventory. This figure increased drastically to 3,651.55 days by the end of December 31, 2021, suggesting a substantial inefficiency in managing inventory turnover, with inventory sitting for an extended period before being sold.

Subsequently, by the end of December 31, 2022, the DOH decreased to 1,532.90 days, reflecting an improvement in inventory management efficiency compared to the previous year. However, the metric surged to 4,599.57 days by the end of December 31, 2023, indicating a significant challenge in optimizing inventory levels and turnover rate.

The most recent data as of December 31, 2024, shows a decrease in DOH to 2,830.61 days, although the metric remains high, signaling that Halliburton may still be facing challenges in effectively managing its inventory.

Overall, the fluctuating trend in days of inventory on hand for Halliburton Company suggests the need for closer monitoring and potential adjustments in inventory management strategies to enhance operational efficiency and financial performance.