Kirby Corporation (KEX)

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 6.04 5.65 5.44 5.39 5.26 4.67 4.71 4.96 4.90 5.51 5.56 5.41 5.63 5.76 5.15 5.02 5.59 5.78 5.88 6.35
DOH days 60.46 64.64 67.09 67.76 69.35 78.18 77.41 73.65 74.51 66.27 65.67 67.49 64.79 63.31 70.90 72.69 65.31 63.10 62.04 57.52

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 6.04
= 60.46

The days of inventory on hand (DOH) for Kirby Corporation has fluctuated over the past few years. From March 31, 2020, to December 31, 2024, the DOH ranged from a low of 57.52 days to a high of 78.18 days. Generally, a lower DOH indicates that the company is efficiently managing its inventory by quickly converting it into sales, while a higher DOH suggests that the company may be holding excess inventory or facing challenges in selling its products.

Looking at the trend in the DOH for Kirby Corporation, there was a noticeable increase from the first quarter of 2021 to the fourth quarter of 2023, where it reached a peak of 78.18 days. This increase might indicate that the company was experiencing difficulties in selling its inventory or was accumulating excess inventory during this period. However, in the subsequent quarters, the DOH showed a decreasing trend, suggesting that the company may have taken steps to improve its inventory management practices.

It is essential for Kirby Corporation to closely monitor its DOH to ensure that it is optimizing its inventory levels. Maintaining an appropriate balance between inventory levels and sales demand is crucial for the company's financial health and overall operational efficiency. Continued analysis and adjustment of inventory management strategies will be key for Kirby Corporation to maintain a competitive position in the market.