Kodiak Gas Services, Inc. (KGS)

Days of inventory on hand (DOH)

Jun 30, 2025 Mar 31, 2025 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
Inventory turnover 7.64 7.89 6.95 5.66 4.76 5.50 5.21 4.60 3.78 3.70 3.71
DOH days 47.77 46.28 52.49 64.51 76.66 66.35 70.04 79.36 96.56 98.74 98.51

June 30, 2025 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 7.64
= 47.77

The analysis of Kodiak Gas Services, Inc.'s days of inventory on hand (DOH) over the specified periods reveals a generally decreasing trend, indicating improved inventory management efficiency. Starting from approximately 98.5 days at the end of December 2022, the DOH exhibits minor fluctuations within the first quarter of 2023, reaching around 98.7 days by March 31, 2023. A slight decline occurs in the second quarter, with DOH decreasing to approximately 96.6 days by June 30, 2023.

A more pronounced reduction is observed in the third quarter of 2023, with DOH dropping to approximately 79.4 days by September 30, 2023. This downward trend continues into the fourth quarter, reaching around 70.0 days as of December 31, 2023. The decline persists into early 2024, with DOH decreasing further to about 66.4 days by March 31, 2024, before slightly rising to roughly 76.7 days at the end of June 2024.

Subsequently, the DOH trend resumes its decline, with values dropping to approximately 64.5 days by September 30, 2024, and further to about 52.5 days as of December 31, 2024. The pattern continues into early 2025, with the DOH reaching approximately 46.3 days by March 31, 2025, and slightly increasing to around 47.8 days by June 30, 2025.

Overall, the pattern suggests that Kodiak Gas Services has been progressively reducing its inventory holding period over the analyzed periods, which may reflect enhancements in operational efficiency, better inventory turnover, or strategic inventory management initiatives. The significant decrease from nearly 98.5 days to approximately 47.8 days over the span indicates a substantial improvement in inventory control.