Light & Wonder Inc (LNW)

Days of inventory on hand (DOH)

		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	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Inventory turnover		12.99	6.23	5.97	6.35	6.32	6.10	6.11	6.41	6.85	7.20	7.58	8.78	10.04	9.30	5.35	4.81	8.60	5.38	6.51	7.55
DOH	days	28.10	58.59	61.16	57.49	57.73	59.80	59.69	56.97	53.28	50.66	48.14	41.58	36.35	39.23	68.18	75.86	42.46	67.89	56.06	48.35

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 12.99
= 28.10

Days of Inventory on Hand (DOH) is a financial ratio that measures the average number of days a company holds onto its inventory before it is sold. A lower DOH indicates that the company is selling its inventory more quickly, while a higher DOH suggests slower inventory turnover.

For Light & Wonder Inc, the DOH has shown some fluctuations over the years based on the provided data. The trend indicates that the company's inventory management has been somewhat inconsistent.

- The DOH was relatively stable in the range of 48 to 67 days from March 2020 to March 2021.
- There was a significant increase in DOH from March 2021 to September 2021, reaching a peak of 75.86 days. This spike could indicate potential issues in inventory management, such as overstocking or sluggish sales.
- However, the DOH decreased sharply in the following quarters, dropping to 28.10 days by December 2024. This significant decrease could suggest improvements in inventory turnover efficiency or better inventory forecasting.

Overall, it is essential for Light & Wonder Inc to closely monitor its DOH and strive for a balance in inventory levels to optimize working capital and maximize profitability. Regularly reviewing and adjusting inventory management strategies can help the company maintain an optimal level of inventory on hand.