Light & Wonder Inc (LNW)

Days of inventory on hand (DOH)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Inventory turnover		12.95	6.29	6.88	10.77	9.45
DOH	days	28.19	58.05	53.08	33.91	38.61

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 12.95
= 28.19

Analyzing Light & Wonder Inc's Days of Inventory on Hand (DOH) over the past five years reveals fluctuations in the efficiency of managing inventory.

- In December 31, 2020, the company had an average of 38.61 days of inventory on hand, which indicates that it took approximately 38.61 days to sell its inventory.
- By December 31, 2021, the DOH decreased to 33.91 days, showing an improvement in inventory management efficiency.
- However, in December 31, 2022, the DOH increased significantly to 53.08 days, suggesting a slower turnover of inventory.
- The trend continued in December 31, 2023, with the DOH rising further to 58.05 days, indicating potential issues such as overstocking or slowing sales.
- In December 31, 2024, there was a notable improvement as the DOH decreased to 28.19 days, reflecting better inventory management and potentially increased sales efficiency.

In conclusion, Light & Wonder Inc's Days of Inventory on Hand has shown fluctuations over the years, indicating periods of both efficient and inefficient inventory management. Monitoring this ratio can help the company optimize its inventory levels to enhance operational efficiency and financial performance.