IQVIA Holdings Inc (IQV)

Days of inventory on hand (DOH)

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Inventory turnover		—	67.10	—	—	—	72.34	70.88	76.13	82.46	71.06	66.05	76.59	79.06	73.93	65.46	69.14	66.00	61.61	69.53	48.84
DOH	days	—	5.44	—	—	—	5.05	5.15	4.79	4.43	5.14	5.53	4.77	4.62	4.94	5.58	5.28	5.53	5.92	5.25	7.47

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ —
= —

Days of Inventory on Hand (DOH) is a financial ratio that measures the number of days a company's inventory is held before being sold. For IQVIA Holdings Inc, the trend in DOH over the past few years shows a relatively stable and decreasing pattern from 7.47 days as of March 31, 2020, to 4.43 days as of December 31, 2022, with some fluctuations in between.

A decreasing trend in DOH is generally positive as it indicates that the company is managing its inventory more efficiently, potentially leading to lower carrying costs, minimized risk of inventory obsolescence, and improved cash flow. It suggests that IQVIA Holdings Inc has been able to turn its inventory into sales at a faster pace over the years.

However, there are instances where the DOH has slightly increased, such as in the periods ending in June 2022 and September 2024, which could indicate a slower inventory turnover rate during those specific periods. It is important for IQVIA Holdings Inc to monitor these fluctuations to ensure optimal inventory management and avoid any potential issues related to excess or obsolete inventory.

Overall, the decreasing trend in DOH for IQVIA Holdings Inc reflects a positive effort in inventory management, but the company should continue to focus on maintaining an optimal balance between inventory levels and sales to sustain operational efficiency and profitability.