Linde plc Ordinary Shares (LIN)

Days of inventory on hand (DOH)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Inventory turnover		11.57	13.93	14.68	13.68	15.07
DOH	days	31.54	26.20	24.86	26.69	24.22

December 31, 2023 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 11.57
= 31.54

The days of inventory on hand (DOH) for Linde Plc. have shown some fluctuations over the past five years. In 2023, the company held inventory for an average of 44.13 days, compared to 37.12 days in 2022 and 36.06 days in 2021. This increase in 2023 suggests that it took the company longer to sell its inventory compared to previous years.

The 2020 and 2019 values of 41.02 days and 37.21 days, respectively, also indicate a higher level of inventory on hand compared to 2021 and 2022. It is worth noting that a higher DOH value may imply slower inventory turnover, potentially tying up more capital in inventory and signaling inefficiencies in inventory management.

Overall, Linde Plc. should monitor its inventory levels closely to ensure optimal inventory turnover and minimize the risk of excess inventory accumulation, which could impact the company's liquidity and profitability.