International Business Machines (IBM)
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 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 23.74 | 19.66 | 18.29 | 17.30 | 17.94 | 15.60 | 16.30 | 14.96 | 15.69 | 7.82 | 9.83 | 11.39 | 13.42 | 12.52 | 13.36 | 14.38 | 16.17 | 23.98 | 23.68 | 23.70 | |
| DOH | days | 15.38 | 18.57 | 19.96 | 21.10 | 20.35 | 23.40 | 22.39 | 24.40 | 23.27 | 46.69 | 37.12 | 32.04 | 27.20 | 29.15 | 27.33 | 25.37 | 22.57 | 15.22 | 15.42 | 15.40 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 23.74
= 15.38
Based on the provided information on International Business Machines Corp.'s days of inventory on hand (DOH) over the past eight quarters, there are fluctuations in the efficiency of managing inventory levels.
In Q4 2023, the company had 15.38 days of inventory on hand, which decreased from 18.55 days in the previous quarter and marked an improvement in inventory turnover efficiency. This suggests that IBM was able to sell its inventory at a faster rate in the most recent quarter.
Comparing to the same quarter a year ago, Q4 2022, where IBM had 20.35 days of inventory on hand, the company significantly improved its inventory management in Q4 2023. However, it is important to note that the DOH metric was notably higher in Q3 2022 and Q2 2022, at 36.51 days and 29.69 days, respectively. This indicates that IBM struggled with managing its inventory levels efficiently during those periods.
Overall, the trend in IBM's DOH indicates varying degrees of effectiveness in managing inventory levels over the past eight quarters. Analyzing the DOH along with other financial metrics can provide a more comprehensive view of the company's operational performance and efficiency in inventory management.
Peer comparison
Dec 31, 2023
See also:
International Business Machines Average Inventory Processing Period (Quarterly Data)