Incyte Corporation (INCY)

Days of inventory on hand (DOH)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Inventory turnover		4.05	4.93	5.41	8.00	10.02
DOH	days	90.14	74.05	67.45	45.65	36.42

December 31, 2023 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 4.05
= 90.14

The days of inventory on hand (DOH) for Incyte Corp. have shown an increasing trend over the past five years. In 2019, the DOH was at 36.42 days, which increased to 45.65 days in 2020, further increasing to 67.45 days in 2021, and then to 74.05 days in 2022. By the end of 2023, the DOH reached its highest level at 90.14 days.

This upward trend in the DOH indicates that Incyte Corp. has been holding onto its inventory for longer periods, which may suggest potential inefficiencies in inventory management. A higher DOH could tie up working capital and lead to increased storage costs and potential obsolescence risks. It is important for Incyte Corp. to closely monitor and optimize its inventory levels to improve operational efficiency and overall financial performance.