Lennox International Inc (LII)
Days of inventory on hand (DOH)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 4.91 | 4.56 | 5.88 | 5.90 | 5.01 | |
| DOH | days | 74.31 | 80.04 | 62.04 | 61.83 | 72.82 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 4.91
= 74.31
The days of inventory on hand (DOH) for Lennox International Inc have shown some fluctuations over the past five years. In 2023, the company had an average of 74.31 days of inventory on hand, which decreased from 80.04 days in 2022 but was higher compared to 2019 and 2020. This indicates that the company was able to manage its inventory levels more efficiently in 2023.
The trend over the five-year period shows variability in inventory management, with the highest DOH in 2022 and the lowest in 2021. A lower DOH generally indicates that the company is selling its inventory more quickly, which could be a positive sign of operational efficiency and effective inventory management.
It's important to consider the industry norms and company's specific circumstances when analyzing inventory management metrics. Overall, Lennox International Inc's DOH trend suggests improvements in inventory turnover and potential enhancements in operational performance in recent years.
Peer comparison
Dec 31, 2023