LyondellBasell Industries NV (LYB)

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		7.71	6.86	7.13	7.39	7.52	7.38	7.35	8.06	9.13	8.82	8.72	8.21	7.63	6.66	5.98	5.43	5.61	6.17	6.92	7.23
DOH	days	47.37	53.22	51.18	49.39	48.52	49.43	49.67	45.28	39.99	41.41	41.86	44.48	47.83	54.81	61.02	67.17	65.09	59.20	52.74	50.49

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 7.71
= 47.37

Days of Inventory on Hand (DOH) is a financial ratio that provides insight into how efficiently a company manages its inventory. For LyondellBasell Industries NV, the trend in DOH shows a fluctuating pattern over the periods from March 31, 2020, to December 31, 2024.

The DOH for LyondellBasell Industries NV ranged from a high of 67.17 days on March 31, 2021, to a low of 39.99 days on December 31, 2022. This indicates that the company held inventory for an average of approximately 40 to 67 days during the period under review.

A decreasing trend in DOH suggests that the company is able to sell its inventory faster, which can be seen in the decreasing trend from March 31, 2022, to December 31, 2024. This could be a positive sign of efficient inventory management or stronger demand for the company's products.

However, it is important to note that a very low DOH could also indicate a shortage of inventory, which may lead to potential stockouts and lost sales. On the other hand, a very high DOH may signify excess inventory levels that tie up capital and increase storage costs.

In conclusion, analyzing LyondellBasell Industries NV's DOH over time provides valuable insights into its inventory management efficiency and can help stakeholders assess the company's ability to balance inventory levels with market demand.