MillerKnoll Inc (MLKN)
Days of inventory on hand (DOH)
| May 31, 2024 | Jun 3, 2023 | May 31, 2023 | May 31, 2022 | May 28, 2022 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 5.15 | 8.09 | 5.45 | 4.42 | 6.53 | |
| DOH | days | 70.82 | 45.13 | 66.95 | 82.66 | 55.90 |
May 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 5.15
= 70.82
The days of inventory on hand (DOH) for MillerKnoll Inc have fluctuated over the past few years. As of May 28, 2022, the company had an inventory holding period of 55.90 days, which increased to 82.66 days by May 31, 2022. Over the following years, there was a decline in DOH to 66.95 days by May 31, 2023, and a significant decrease to 45.13 days by June 3, 2023. However, by May 31, 2024, the DOH had increased again to 70.82 days.
These fluctuations in DOH indicate varying efficiency levels in managing inventory. A lower DOH suggests better inventory management, enabling the company to turn over its inventory more quickly. Conversely, a higher DOH could imply excess inventory or slower sales, potentially tying up capital and increasing carrying costs.
MillerKnoll Inc should further analyze the factors contributing to these fluctuations in DOH to optimize inventory levels and improve overall operational efficiency.