Mattel Inc (MAT)
Days of inventory on hand (DOH)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 5.27 | 5.00 | 3.30 | 3.64 | 4.55 | |
| DOH | days | 69.22 | 73.01 | 110.50 | 100.20 | 80.28 |
December 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 5.27
= 69.22
The Days of Inventory on Hand (DOH) ratio for Mattel Inc has shown fluctuation over the past five years. In December 31, 2020, the company held inventory for an average of 80.28 days before selling it, which increased to 100.20 days by December 31, 2021. This upward trend continued with a further increase to 110.50 days by December 31, 2022.
However, there was a reversal in trend as of December 31, 2023, where the DOH decreased significantly to 73.01 days. This downward trend continued into December 31, 2024, with the DOH further declining to 69.22 days.
Overall, the DOH ratio indicates the average number of days it takes for Mattel Inc to sell its inventory. The recent decrease in DOH may suggest improved inventory management efficiency, allowing the company to sell its inventory faster. However, it's important for the company to continue monitoring its inventory levels to ensure optimal balance between holding enough inventory to meet demand and minimizing carrying costs.