Kennametal Inc (KMT)

The analysis of Kennametal Inc.'s days of inventory on hand (DOH) over the specified periods reveals a degree of fluctuation that reflects evolving inventory management and operational efficiency.

As of June 30, 2021, the DOH was approximately 134.89 days, indicating that, on average, the company held inventory for nearly 135 days before turnover. Moving into the subsequent year, the DOH increased to approximately 152.70 days by June 30, 2022, suggesting a period of inventory buildup or potentially slower turnover, which could be attributed to changes in supply chain conditions, demand forecasts, or strategic inventory positioning.

However, a notable reduction in DOH occurred by June 30, 2023, bringing it down to approximately 142.16 days. This decline signifies an improvement in inventory management efficiency, although the level of inventory holding remained relatively high compared to the 2021 figures.

By June 30, 2024, the DOH further decreased to approximately 132.30 days, reflecting continued efforts to optimize inventory levels and enhance turnover rates. The trend indicates ongoing initiatives to improve working capital utilization and reduce the buffer of unsold inventory.

Contrarily, by June 30, 2025, the DOH slightly increased to approximately 143.53 days. This uptick suggests a potential softening in inventory reductions or strategic decisions to expand inventory levels, possibly in anticipation of increased demand, supply chain considerations, or operational adjustments.

Overall, the data depict a trend of initial inventory accumulation followed by systematic efforts to reduce the inventory holding periods, with a subsequent stabilization and a minor increase in the later year. The fluctuations in DOH highlight the company's responsiveness to operational and market factors, aiming to balance inventory investment against sales and demand dynamics.