Merit Medical Systems Inc (MMSI)
Days of inventory on hand (DOH)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 3.86 | 3.63 | 3.85 | 4.44 | 4.86 | |
| DOH | days | 94.44 | 100.48 | 94.71 | 82.15 | 75.07 |
December 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 3.86
= 94.44
The days of inventory on hand (DOH) for Merit Medical Systems Inc have shown an increasing trend over the past five years. The company reported DOH of 75.07 days as of December 31, 2020, which increased to 82.15 days by December 31, 2021. This upward trend continued with DOH reaching 94.71 days by December 31, 2022, and further increasing to 100.48 days by December 31, 2023. However, there was a slight decrease in DOH to 94.44 days by December 31, 2024.
The rise in DOH indicates that Merit Medical Systems Inc is holding inventory for a longer period before selling it, which may tie up more capital in inventory and potentially lead to increased carrying costs. It is advisable for the company to closely monitor and manage its inventory levels to optimize efficiency and reduce the risk of obsolescence.
Peer comparison
Dec 31, 2024