Microsoft Corporation (MSFT)

Days of inventory on hand (DOH)

		Jun 30, 2024	Jun 30, 2023	Jun 30, 2022	Jun 30, 2021	Jun 30, 2020
Inventory turnover		59.48	26.35	16.74	19.81	24.32
DOH	days	6.14	13.85	21.80	18.42	15.01

June 30, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 59.48
= 6.14

The Days of Inventory on Hand (DOH) for Microsoft Corporation has shown some fluctuations over the past five years.

- On June 30, 2020, the DOH was 15.01 days.
- By June 30, 2021, the DOH had increased to 18.42 days.
- The trend continued with a further increase to 21.80 days on June 30, 2022.
- However, there was a significant decrease in DOH to 13.85 days by June 30, 2023.
- The most notable change occurred by June 30, 2024, with a substantial decrease in DOH to 6.14 days.

Overall, the downward trend in DOH over the recent years of the financial data indicates that Microsoft has been managing its inventory more efficiently, turning over its inventory faster and potentially reducing carrying costs. However, the company should continue to monitor its inventory levels to ensure they are optimized to meet customer demand while minimizing inventory holding costs.