Hims Hers Health Inc (HIMS)
Days of inventory on hand (DOH)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 6.99 | 5.48 | 4.97 | 11.09 | 9.00 | |
| DOH | days | 52.21 | 66.59 | 73.44 | 32.90 | 40.56 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 6.99
= 52.21
The Days of Inventory on Hand (DOH) for Hims Hers Health Inc has shown a fluctuating trend over the past five years. In 2023, the DOH decreased to 52.21 days from 66.59 days in 2022, indicating a more efficient management of inventory levels. However, compared to 2020 and 2019, the current DOH is higher, suggesting a longer period of time that inventory is held before being sold.
In 2021, the DOH was at its highest level of 73.44 days, reflecting potentially slower inventory turnover and liquidity concerns. The decrease in 2022 and 2023 may point towards improved inventory management practices or changes in the company's sales strategy.
Overall, monitoring the DOH can provide insights into the efficiency of Hims Hers Health Inc's inventory management, helping stakeholders assess the company's ability to control costs and effectively utilize its resources.