Altria Group (MO)
Days of inventory on hand (DOH)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 8.40 | 5.31 | 5.45 | 4.97 | 5.24 | 5.67 | 5.61 | 5.55 | 5.85 | 10.75 | 6.99 | 5.71 | 5.56 | 5.18 | 4.26 | 4.12 | 3.20 | 3.64 | 3.62 | 3.38 | |
| DOH | days | 43.48 | 68.68 | 66.97 | 73.46 | 69.67 | 64.38 | 65.10 | 65.72 | 62.35 | 33.96 | 52.25 | 63.92 | 65.59 | 70.41 | 85.71 | 88.63 | 113.89 | 100.19 | 100.95 | 108.07 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 8.40
= 43.48
The days of inventory on hand (DOH) for Altria Group Inc. have displayed fluctuating trends over the past eight quarters. In the most recent quarter, Q4 2023, the company held inventory for an average of 71.32 days, representing a slight increase compared to the previous quarter. This suggests that Altria may be carrying inventory for a slightly longer period, which could tie up working capital and potentially indicate slower inventory turnover.
Looking back over the quarters, we observe that the DOH has generally been trending upwards since Q2 2022, where it stood at 61.56 days. This may indicate a possible shift in inventory management practices or changes in demand patterns impacting the company's inventory levels. The peak in inventory days in Q4 2022 at 66.86 days was followed by a relatively stable period before the recent increase in the latest quarter.
Overall, a higher DOH implies that Altria may be facing challenges in efficiently managing its inventory levels, potentially leading to increased carrying costs and the risk of obsolescence. It would be important for the company to closely monitor and optimize its inventory management strategies to ensure sufficient stock levels while minimizing excess inventory holding periods.
Peer comparison
Dec 31, 2023
See also:
Altria Group Average Inventory Processing Period (Quarterly Data)