Hayward Holdings Inc (HAYW)
Days of inventory on hand (DOH)
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 2.38 | 3.35 | 3.22 | 3.02 | 3.59 | 3.48 | 3.68 | 4.34 | 4.60 | ||||
| DOH | days | 153.66 | 109.01 | 113.34 | 120.72 | 101.80 | 104.75 | 99.09 | 84.05 | 79.31 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 2.38
= 153.66
Hayward Holdings Inc's Days of Inventory on Hand (DOH) indicates how many days, on average, the company holds inventory before selling it. A lower DOH value implies better inventory management efficiency.
Looking at the trend over the past eight quarters, we can observe fluctuations in Hayward Holdings Inc's DOH. In Q1 2022, the company had a relatively low DOH of 120.22 days, suggesting efficient inventory turnover. However, this metric increased in subsequent quarters, reaching a peak of 164.55 days in Q1 2023. This significant increase in DOH may indicate potential issues such as excess inventory levels, slowing sales, or difficulties in managing inventory effectively.
It is essential for Hayward Holdings Inc to closely monitor and analyze the factors driving these fluctuations in DOH to optimize inventory levels. High DOH can tie up capital, increase holding costs, and pose risks of obsolescence. The company should consider implementing strategies to improve inventory management, such as forecasting accuracy, streamlining supply chain processes, and enhancing communication between departments.
Overall, Hayward Holdings Inc's DOH trend highlights the importance of maintaining optimal inventory levels to support efficient operations and maximize profitability in the long run.
Peer comparison
Dec 31, 2023