Mattel Inc (MAT)
Days of inventory on hand (DOH)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 9.04 | 5.62 | 6.38 | 8.35 | 9.62 | |
| DOH | days | 40.38 | 64.91 | 57.19 | 43.71 | 37.96 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 9.04
= 40.38
The days of inventory on hand (DOH) for Mattel Inc have fluctuated over the past five years. In 2023, the company held inventory for an average of 40.38 days before selling it, representing an improvement from the previous year's figure of 64.91 days. This indicates that Mattel managed its inventory more efficiently in 2023, possibly through better inventory management practices or demand forecasting.
Comparing to 2021 and 2020, where the DOH was 57.19 days and 43.71 days respectively, the company decreased the amount of time it held inventory on hand before selling it. This could suggest improvements in inventory turnover and liquidity management during these years.
In contrast, the DOH in 2019 was 37.96 days, slightly lower than in 2023. This implies that in 2019, the company was relatively more efficient in turning its inventory into sales compared to 2023.
Overall, the trend in Mattel's DOH shows fluctuations over the years, indicating varying levels of efficiency in managing inventory. It is essential for the company to continue monitoring and optimizing its inventory levels to strike a balance between meeting customer demand and controlling costs.