Kellanova (K)

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		7.04	5.70	5.94	6.00	6.00	5.78	5.91	5.86	7.99	6.21	6.02	6.23	6.88	6.88	6.78	6.97	7.04	7.05	7.35	7.61
DOH	days	51.83	64.03	61.46	60.81	60.88	63.15	61.77	62.34	45.68	58.79	60.60	58.57	53.04	53.03	53.83	52.37	51.83	51.80	49.65	47.95

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 7.04
= 51.83

The days of inventory on hand (DOH) for Kellanova have exhibited fluctuations over the period from March 31, 2020, to December 31, 2024. The DOH represents the average number of days goods are held in inventory before being sold, indicating the efficiency of inventory management.

From March 31, 2020, to June 30, 2021, the DOH increased gradually from 47.95 days to 53.83 days, suggesting a potential buildup of inventory levels or slower inventory turnover. This trend reversed slightly in the subsequent quarters of 2021 but remained relatively high compared to earlier periods.

A significant spike occurred in the DOH for Kellanova in the first quarter of 2022, reaching 58.57 days and further increasing to 60.60 days in the second quarter. This sharp rise may indicate inventory management challenges, such as overstocking or slowing demand for products.

The DOH decreased marginally in the third and fourth quarters of 2022 but remained elevated compared to historical levels. Subsequently, in the first quarter of 2023, there was a notable jump to 62.34 days, suggesting persistent issues in managing inventory efficiently.

The DOH displayed fluctuations around the 60-day mark from 2023 to 2024, indicating continued challenges in optimizing inventory levels. The highest recorded DOH was 64.03 days on September 30, 2024, while the lowest was 45.68 days on December 31, 2022.

Overall, the trend in Kellanova's DOH suggests a need for improved inventory management practices to enhance operational efficiency and liquidity. Monitoring inventory turnover rates and implementing strategies to reduce excess inventory could help mitigate the risks associated with prolonged holding periods.