MDU Resources Group Inc (MDU)
Days of inventory on hand (DOH)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 34.24 | 77.93 | 12.23 | 13.94 | 14.07 | |
| DOH | days | 10.66 | 4.68 | 29.84 | 26.18 | 25.94 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 34.24
= 10.66
The days of inventory on hand (DOH) for MDU Resources Group Inc have shown a significant improvement over the past five years. In 2023, MDU Resources had 37.49 days of inventory on hand, marking a considerable decrease from 166.43 days in 2022, 219.84 days in 2021, 232.44 days in 2020, and 200.00 days in 2019.
This improvement in the DOH ratio indicates that MDU Resources has been more efficient in managing its inventory levels, resulting in a shorter time to sell its inventory. A lower DOH value suggests that the company is turning over its inventory more quickly, which could lead to lower holding costs, reduced risk of inventory obsolescence, and better working capital management.
Overall, the trend of decreasing days of inventory on hand over the past five years is a positive sign of improving operational efficiency and inventory management practices at MDU Resources Group Inc.
Peer comparison
Dec 31, 2023